Labor Department issues final overtime rule

Published in the October 2019 issue of North American Government News

The Department of Labor has issued a final rule on overtime pay. The new rule takes effect Jan. 1, 2020, and will raise the annual salary level at which companies have to pay overtime to exempt workers from $23,660 to $35,568. Workers earning less than that amount annually will be paid time-and-a- half for working over 40 hours per week. The overtime rule was last adjusted in 2004.

The new rule does not index salary levels to wage growth as the rule originally proposed under the Obama Administration.