Court Invalidates DOL Salary Thresholds

Earlier this year, we briefed you on new minimum salary thresholds for exempt employees under the FLSA.  For exempt employees, the threshold jumped from $35,568 to $43,888 and was scheduled to jump again to $58,656 on January 1, 2025.  Similarly, the minimum salary threshold for highly-compensated employees (which has a relaxed duties test) increased from $107,432 to $132,964 and would jump again to $151,164 on January 1. 

Thankfully, these increases were invalidated last week.  The salary threshold for exempt employees is now once again $35,568.  For HCE’s, it’s again $107,432. In light of the recent Presidential election, we do not see the threshold amounts rising in such a significant way in the near future.  

We routinely counsel employers regarding overtime issues so let us know if you have any questions or need assistance.

Thanks, Jack, Elizabeth and Jim