On September 28, 2016, the United States House of Representatives passed a bill that would postpone implementation of the FLSA’s new salary threshold for “white-collar” overtime exemptions. As we noted earlier this month, the Department of Labor’s regulation will more than double the minimum weekly salary requirement to $913 and is set to take effect December 1. The recently passed House bill would push the effective date to June 1, 2017.
Employers shouldn’t get their hopes up for breathing room, however. Even if the bill makes it past the Senate and onto President Obama’s desk, the Commander-in-Chief has threatened a veto. With the overwhelming majority of congressional Democrats supporting the salary requirement increase, the chances that Congress will override the President’s veto are slim.
So, employers should stay the course and continue planning as if the new regulations will take effect on December 1, 2016. A helpful list of considerations and action steps can be found here.