The Department of Labor will soon be issuing a new proposal concerning overtime pay with many observers believing that the salary threshold will be raised. Currently, workers are only guaranteed time and a half if you earn less than $455 a week ($23,660) a year. Many think that this limit will be increased to somewhere between $42,000 to $52,000.
Depending on the make up of the ultimate proposal, raising of this threshold may affect you in several different ways.
First, you may be entitled to overtime compensation. Currently workers who are paid more than $23,660 and perform certain managerial duties may be considered “exempt” from overtime pay. If the salary threshold is raised, more workers will be considered non-exempt and entitled to compensation at one and one-half times their hourly wage.
Additionally, you may get a slight raise. This may happen if your employer prefers to pay you a little more instead of having to pay overtime.
Your employer may also reduce the number of hours you work. If you typically work more than 40 hours in a work week, but don’t get paid overtime, once the proposed rule is adopted, you may be required to work less so that your employer can avoid the overtime pay requirement.
Alternatively, you may have your base pay lowered to offset the amount you will be earning in overtime pay.
If your employer fails to pay you overtime and you are not exempt – either now or when the new proposal is enacted, you may have an FLSA claim. For more information, or if you believe you have not been paid the compensation you deserve, please contact the experienced Georgia wage and hour lawyers at Buckley Bala Wilson Mew LLP for an immediate case evaluation.