Important Update: On November 15, 2024 a federal judge overturned the FLSA overtime rule. UNM is reviewing this decision and its impact. Further updates will be shared soon.
FLSA Overview
The federal Department of Labor (DOL) released a rule adjusting salary thresholds for overtime exemptions under the federal Fair Labor Standards Act (FLSA). Exempt employees not subject to the FLSA salary test (e.g. Teachers, Coaches, Physicians) are not impacted by this change.
The new rule will take effect on Jan. 1, 2025, increasing the minimum salary threshold for most exempt employees to the equivalent of $58,656. In order to comply with this new rule, UNM is transitioning all grade 11 and 12 exempt positions to non-exempt. This change is expected to impact about 1,000 staff who will transition to non-exempt/hourly on January 1, 2025.
Resources & Support for Employees, Supervisors, and Departments
Supervisors
& Departments
Important Reminders
The Jan. 1, 2025, changes are subject to various legal challenges. HR is actively monitoring these lawsuits and challenges for updates, and any changes will be shared promptly.
View the FLSA Town Hall Recording and Presentation
UNM Human Resources recently hosted an online Town Hall to help University employees understand upcoming changes to the Fair Labor Standards Act (FLSA) and their impact on overtime eligibility for affected employees. The session covered:
- An overview of the FLSA
- UNM’s transition approach
- What it means to be classified as non-exempt
- Preparing for the changes
- Payroll adjustments
- Timeline with next steps
- Available resources for a smooth transition.
If you missed the session, you can view the recording and download the presentation slide deck on our FLSA Recorded Meetings & Slides webpage.
We encourage you to check this site regularly to stay informed and up to date on important FLSA updates.
Resources
Implementation Timeline
- August – September 2024: Planning and Initial Setup
- Review regulatory changes and identify key impact areas.
- Conduct preliminary impact analysis to determine affected departments and classifications.
- October 2024: Preliminary Campus Communications
- Presentation of FLSA changes to UNM Executive Cabinet and to departmental HR Liaisons
- Targeted outreach to College/School/Division HR Agents
- Initial communications to impacted employees and supervisors
- November 2024: Continued Communications
- Regular communications to Employees, Supervisors, and Departments
- Weekly FLSA Information Sessions for Employees, Supervisors, and Departments
- Continued monitoring of legal challenges
- December 2024: Prepare for Implementation
- Continued communications to Employees, Supervisors, and Departments
- Weekly FLSA Information Sessions for Employees, Supervisors, and Departments
- Continued monitoring of legal challenges
- Early January 2025: Final Employee Notifications
- Provide formal notice of changes to employees.
- Complete updates in UNM’s Banner system to complete transition from exempt to non-exempt for impacted employees.
