DOL Expands Overtime Eligibility to Millions, Effective July 1

The Department of Labor’s (DOL) recently announced final rule will significantly broaden the pool of employees eligible for overtime pay. This rule, effective July 1, 2024, will bring substantial changes to the employment landscape, impacting both employers and employees. As businesses navigate these new regulations, employment lawyers, such as those at Carcich O’Shea, become invaluable.

Understanding the Final Rule

The DOL’s final rule updates the salary thresholds for overtime eligibility under the Fair Labor Standards Act (FLSA). The most notable change is the increase in the standard salary level from $684 per week ($35,568 annually) to $1,059 per week ($55,068 annually). This means that more employees who earn below this new threshold will be entitled to overtime pay for hours worked beyond the standard 40-hour workweek.

Additionally, the highly compensated employee (HCE) threshold will rise from $107,432 to $143,988 annually. Employees meeting this criterion are subject to a less stringent duties test to qualify for overtime exemptions. These changes aim to modernize and strengthen overtime protections, ensuring fair compensation for a larger segment of the workforce.

Implications for Employees

For employees, the expansion of overtime eligibility could mean increased earnings, particularly for those who regularly work over 40 hours per week. Employees reclassified from exempt to non-exempt will need to adapt to new time-tracking and reporting requirements, which may affect their work habits and autonomy. This change could improve work-life balance as employers hire more staff or redistribute workloads to manage overtime expenses. Employees need to educate themselves on their rights under the new regulations to ensure they receive proper compensation. The changes present opportunities for fairer compensation but require careful handling to maintain employee morale and satisfaction.

How Carcich O’Shea Can Assist

Navigating the complexities of employment law can be daunting, especially with significant regulatory changes like the DOL’s final rule. This is where our experienced employment lawyers at Carcich O’Shea can help.

Carcich O’Shea offers support in recovering unpaid wages and pursuing legal action, if necessary, for employees denied rightful overtime pay or misclassified as exempt. We can assist in filing claims with the DOL or state labor agencies, negotiating settlements with employers, and representing employees in litigation to seek compensation for back pay, liquidated damages, and attorney fees.

Carcich O’Shea advocates for employees’ rights and ensures they are treated fairly under labor laws. We educate employees about their rights to overtime pay, provide guidance on documenting work hours and overtime hours, and help employees understand their legal options if they believe they are being denied fair compensation. Carcich O’Shea’s dedication to protecting employees’ rights extends to addressing issues of retaliation or discrimination that may arise from asserting their rights to overtime pay.

With a focus on personalized representation, Carcich O’Shea works closely with employees to navigate the complexities of overtime eligibility and ensure their voices are heard.

Our Hackensack Employment Lawyers at Carcich O’Shea Help Protect Employees’ Rights

By partnering with Carcich O’Shea, employees can seek justice and fair compensation with the backing of experienced legal advocates. Call our Hackensack employment lawyers at 201-988-1308 or contact us online to schedule a consultation. Located in Hackensack, New Jersey, we serve clients in Bergen County, Edison County, Essex County, Morris County, and Passaic County.