Doomsday Prepper's Guide to New Overtime Pay Law

A clear and bold header

Doomsday Preppers Guide to New Overtime Pay Law

Posted by Christine Fox on Jun 3, 2016 7:17:04 PM

2016= Droughts, Chinch Bugs, and Overtime Pay Rules: Preparation for all seasons.

Starting December 1, new overtime rules kick in that will qualify millions more workers for overtime pay.  By dramatically raising the pay threshold determining whether workers are eligible for overtime at a rate of at least one and one-half time their regular pay.  With only a few months of lead time, employers need to take a look at their operations and decide how to incorporate these changes.

"The overtime changes will effect every business that employs salaried workers. At a minimum, employers will have to review the exempt status of each salaried employee. For most employers they will have to overhaul their payroll and convert salaried workers to hourly or face the option of increasing salaries to $47,760." - Alfred Roush, Esq. SPHR, SHRM-SC, VP of HR Services, Certipay 

Potential compliance issues in how employers determine which employees are exempt, and those entitled to overtime is complicated, and if not done correctly, may result in significant liability for an employer.

How to prepare your club for the inevitable effect on operations and finances

This is a good time to review whether the employees you have classified as exempt are truly exempt.  Most often, employers mistakenly classify employees as overtime exempt solely on the basis of being paid salary.  Qualifications for being considered an exempt employee, other than salary are meeting the duties tests where the employee has to be performing certain duties as defined by their category of exemption under executive, which applies to managers and supervisors; administrative, or professional.  Having up to date job descriptions and nature of duties performed will help in determining proper classification.  It is best to work with wage and hour counsel to complete a preliminary assessment of all positions currently considered as exempt.

"The 2016 overtime law rings in a new era of electronic timekeeping for salaried employees. Many salaried workers haven't punched a clock since Jerry Seinfeld was airing. The good news for those workers who are returning to the time-clock after 10 years: you don't have to stand in line if the app is on your mobile phone. " - Alfred Roush, Esq. SPHR, SHRM-SC, VP of HR Services, Certipay 

You can’t afford to wait until September to wrap around how to begin incorporating these changes to meet the deadline for full compliance by December 1st.  To help understand how the new rules will apply to your club and what you need to do now to prepare,  we invite you to join us for a complimentary webinar hosted by our HR Partner, Alfred Roush, Esq. SPHR, SHRM-SC, VP of HR Services, Certipay  to learn how to defend against the DOL’s new overtime pay rule.


Free Webinar: Doomsday Prepper's Guide to Overtime Law

Register Here to Attend: Friday, June 17th at 11am - 12pm EST 



Take steps now to prepare your club’s best defense against litigation… your employee handbook.

ClubPay’s professional HR counsel can help with the laborious process of reviewing every job description, worker classification, compensation plan, and assure policies for overtime and tip pooling are compliant with new wage and hour regulations.

Contact us today begin your club’s employee handbook assessment before the clock runs out. 

Subscribe to Email Updates

Show Comments