December 27, 2019
By Tom Peak
Taylor Porter Labor and Employment Attorney
The new salary levels for the “white collar” overtime exemptions (Executive, Administrative and Professional) have taken effect on January 1, 2020.
In order to qualify for these exemptions, the employee must receive compensation, on a salary basis of $35,568 per year ($684 per week) and meet the “duties” test with respect to the specific exemption.
Non-discretionary bonuses and incentive payments, including commissions, may be used to satisfy up to 10% ($3,556.80) of the required salary level ($35,568 per year). The “highly compensated employee” salary level will also rise to $107,432 per year.
If you have questions, or we can assist you in making sure your business complies with these new requirements, please contact us.