Editor's Note: A federal Texas judge has issued a nationwide injunction against the U.S. Department of Labor’s new overtime rule. More information is available here.
In just a few days millions more American workers will be eligible for overtime, thanks to a new U.S. Department of Labor (DOL) rule that takes effect on Dec. 1. Under the previous guidelines, certain salaried workers who made less than $23,660 per year were entitled to receive overtime when they worked more than 40 hours a week, even if they weren’t hourly. Under the new rule, most salaried workers who earn less than $47,476 annually will be eligible for time-and-a-half when they work more than 40 hours each week. And the estimated 4 million workers who become eligible on Dec. 1 represent just the beginning — every three years, the pay levels will automatically update.