There are individuals in every workplace in the U.S.who are paid a salary and considered exempt from pay for overtime after forty hours in a work week.While the issue of whether employees are properly classified as exempt is always an issue that could potentially arise, exempt status is more likely to be called into question if and when the Department of Labor (DOL) goes forward with a proposed increase in the salary amount required to qualify as exempt. It has been reported that such a proposed rule could be issued in early 2019. Therefore, now might be a good time to discuss some of the issues likely to arise if the salary amount is changed.
In May 2016, the DOL proposed to more than double the current $23,660 per year threshold for exempt status.The proposed increase to $47,476 was effectively blocked by court action.It remained blocked as the Trump administration took office and remains so today.