Home > Federal Employment Law - USDOL > DOL Issues New Final Rule for Exempting Executive, Administrative, and Professional Employees under the FLSA

DOL Issues New Final Rule for Exempting Executive, Administrative, and Professional Employees under the FLSA

September 24, 2019

By: Amanda Thibodeau

AET Headshot Photo 2019 (M1344539xB1386)The Department of Labor (DOL) released a final rule today, updating its regulations under the Fair Labor Standards Act (FLSA).  The final rule raises the threshold salary and annual compensation levels for exempting executive, administrative, and professional employees, including raising the “standard salary level” for exempting executive, administrative, and professional employees from the currently enforced level of $455 per week (the equivalent of $23,660 per year for a full-year worker) to $684 per week (the equivalent of $35,568 per year for a full-year worker).  It further allows employers the ability to apply a portion of bonuses or commissions received by those employees towards that salary level, for purposes of meeting the exemption. The final rule will be effective January 1, 2020.  For more information, or to review the final rule itself, visit the DOL’s announcement here.

For more information, please contact Matthew Mitchell or Amanda Thibodeau.