On Sept. 24, the U.S. Department of Labor ruled to raise the salary threshold for exemption status under the Fair Labor Standards Act (FLSA) from $23,660 per year to $35,568, effective Jan. 1, 2020.
To ensure compliance with the new regulation, the University will move all positions in Grades 8-10, which do not qualify for a special exemption under the law, to non-exempt, becoming eligible for overtime pay, effective Nov. 23.
Additionally, individuals who are part-time status and exempt, but fall below the revised FLSA threshold, will move to non-exempt on Nov. 23. Departments with part-time, exempt personnel are encouraged to contact their HR Consultant to discuss.
Effective Nov. 1, the University will revise the Salary Structure to ensure all exempt positions in Grades 11 and higher meet the new FLSA salary threshold. (See article below.)
Per University Administrative Policy 3500: Wage and Salary Administration, employees must be paid at least the minimum of their respective salary grade. Therefore, all individuals who fall below the grade minimums for Grades 11 and 12 will receive salary increases to meet the revised minimums, effective Nov. 1.
Stay up-to-date on FLSA Changes here.
Revised Salary Structures
As a result of the FLSA changes explained above, the University is implementing slightly revised Salary Structures. Employees falling below the new grade minimums, including those not impacted by FLSA, will receive salary increases to meet the revised minimums, effective Nov. 1.
The new salary structures reflect changes to the grade minimums for Grades 11 and 12, including Grades 11 and 12 through each Clinical Structure. The revised structures can be found here.
As outlined in University Administrative Policy 3500: Wage and Salary Structure Administration, employees must be paid at least the minimum of their respective salary grades.
Notifications will be sent to impacted employees and their supervisors in the upcoming weeks. Questions? Contact HR Compensation at email@example.com.