DOL Overtime Changes: Frequently Asked Questions
DOL Overtime Changes: Frequently Asked Questions

DOL Overtime Changes: Frequently Asked Questions

The Department of Labor (DOL)’s proposed overtime rule changes are generating a lot of questions and discussion. While you may have heard about potential changes to the law, do you truly understand how it could affect your employees and your business?

Paycor is holding regular webinars on this topic, and below is a collection of questions we’ve received. Check out our other resources on the DOL changes by clicking the links in this article.

Questions from Paycor webinars:

What is the earliest the DOL’s proposed overtime rule could go into effect?
The current estimate is that the final rule could be issued in early 2016 up to October 2016 at the latest. Of course, this is just speculation and those dates are subject to change.

What industries will be affected the most by the proposed changes?
With a high number of hourly and seasonal employees, non-profit, retail, restaurant and manufacturing industries are the ones we estimate will be most affected.

Do employers have to have a minimum number of employees for this law to apply to them?
No. It is a matter of each individual employee’s status, job and salary, not the number employees the employer has.

Is there an option for employees to choose to be considered exempt?
At this time, no there is not.

What tool would you recommend for determining whether an employee is exempt or non-exempt?
Paycor's HR Support Center is a great resource if you are unsure of how to classify specific employees. Paycor’s recent article on exempt vs. non-exempt also provides great information.

If an exempt employee earns less than $47,476 per year, but they earn a housing allowance, will that allowance be added to their pay to determine whether they meet the proposed overtime salary threshold?
No, not according to the current proposal.

What qualifies someone as a “computer employee”?
The Department of Labor is the best resource on this, but generally, computer employees are those who are creating or designing software programs or performing activities such as determining the IT infrastructure. Computer employees typically have a high level of skill in the IT space.

We will add to this list as we receive additional questions. For many more questions, answers and information on the Department of Labor’s proposed overtime rule changes, please consult the DOL’s FAQ page.


Download our 7 Step Guide to Mastering the DOL Proposed Overtime Regulations

Download our new 7 Step Guide today to ensure you’re prepared for the next big compliance update facing organizations in 2016.

More to Discover

Case Study: Humane Society of Boulder Valley

Case Study: Humane Society of Boulder Valley

After years of dealing with cumbersome and unreliable HR software, the Humane Society of Boulder Valley turned to Paycor for a modern, efficient Human Capital Management solution. “Paycor provided improved functionality and additional services for the same price we were paying with our old vendor. [We received] a better value and a more intuitive product.” —Jennifer Schwartz, Director of Human Resources, Humane Society of Boulder Valley Read more about HSBV’s experience using Paycor and how our solutions can meet the needs of other nonprofit organizations.

Pay Equity and State-by-State Laws

Pay Equity and State-by-State Laws

When you’re managing payroll, it’s tough enough keeping track of – and maintaining compliance with – federal and a single state’s laws. But organizations that have operations in more than one state often experience challenges when it comes to tracking the always-changing requirements of pay equity laws. Complicating matters even further, some states such as California and New York, have separate laws governing cities and counties. We’ve created this handy chart to help you get a quick view of each state’s laws. State-by-State Pay Equity Laws State Law/Citation Covered Employes Provisions Alabama None None None Alaska Employment Discrimination Act Alaska Stat. Ann. § 18.80.220(a)(5). Private companies and Public employers Employers can’t...

Webinar: Industry Spotlight: Healthcare - FLSA Compliance

Webinar: Industry Spotlight: Healthcare - FLSA Compliance

On March 7, 2019 the Department of Labor announced a proposed rule that would make more than a million more American workers eligible for overtime. What does this mean for healthcare providers? Join us as Julie Pugh, a labor law attorney, examines the current state of FLSA compliance in the healthcare industry and how this new proposal will affect providers across the nation. Speaker: Julie Pugh Julie’s practice at Graydon Law focuses on client counseling, employment litigation, and dispute resolution. She routinely represents clients before the EEOC, OCRC, DOL, and federal and state judges. She also worked as a human resource staffing supervisor for a local logistics company. She holds certifications as a SHRM Certified Professional...

Webinar: EEO-1 Reporting Requirements

Webinar: EEO-1 Reporting Requirements

On April 25, 2019, a federal judge ordered the Equal Employment Opportunity Commission (EEOC) to collect 2018 employee pay data and hours worked by Sept. 30, 2019. The additional data required by the new ruling and expanded EEO-1 form is very significant. Is your HR team ready? Join us as we discuss how the new requirements will impact you and how Paycor can help.