On April 23, 2024, the U.S. Department of Labor issued final regulations updating the minimum salary threshold for employees to be considered exempt from overtime requirements under the Fair Labor Standards Act. The regulations are scheduled to be published in the Federal Register on April 26, 2024. The new rules increase the minimum salary from the current level of $684 per week (about $35,568 per year) to $844 per week (about $43,888 per year) effective July 1, 2024, and $1,128 per week (about $58,656 per year) effective January 1, 2025. According to the final rule, $844 per week is the
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Contractor v. Employee: Dept. of Labor Proposed Employee Classification Rule
Contractor v. Employee: Dept. of Labor Proposed Employee Classification Rule
December 19, 2022; By Charles A. Krugel
Contractor v. employee violations occur in every industry. This is in part due to the regulatory processes in wage rates, labor agreements, and exemptions defining who is and who isn’t an independent contractor.
To paraphrase a genial and genuinely funny former US President, I’m from the government, and I’m here to help!
This article analyzes a new government attempt to help society and the economy by improving guidance on employment relationships and minimizing the impact of wage and hour evaders. A typical case
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Federal Court Nixes Several FFCRA Regulations, Creating Compliance Headaches for Employers

Earlier this week, a federal court in New York kicked to the curb four key provisions of the U.S. Department of Labor’s regulation implementing the paid leave provisions of the Families First Coronavirus Response Act, requiring employers covered by the Act to quickly decide how it will address these scenarios in the future.
As you will recall, the DOL issued final FFCRA regulations on leave on April 1, 2020 as a sweet little April fool’s present for us. Days later, the State of New York sued the DOL, claiming that the agency unlawfully denied leave to otherwise eligible employees and…
Department of Labor Narrows Joint Employer Definition
The federal Department of Labor (DOL) released its long-awaited final rule to revise and update its regulations interpreting joint employer status under the Fair Labor Standards Act (FLSA), which governs responsibility for payment of minimum wages and overtime.
This rule rolls back the Obama administration’s much broader definition of joint employer and replaces it with a four-factor test that looks to who maintains the power to hire and fire, to supervise schedules and conditions of employment, to set pay, and to keep employment records.
The DOL rule goes into effect March 16, 2020. The National Labor Relations Board (NLRB) and…
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Employers Should Review Payroll as the Overtime “Exempt” Salary Threshold Rises

The threshold for white-collar employees to be classifiable as “exempt” will rise about 50% to $684 per week (about $35,568 per year) on January 1, 2020. Employers will need to make adjustments to ensure they’re compliant with this updated rule, under the Fair Labor Standards Act, announced on September 24 by the U.S. Department of Labor. By “exempt” I am referring to employees who do not qualify for overtime pay.
The rule change—which boosts the threshold from $455 per week and $23,600 per year, as previously set in 2004—will affect about 1.3 million workers, the DOL says, who could be…
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Breaking: New Federal Overtime Rules Take Effect January 1

Agency’s Action Adds To Heavy Slate Of New Employment Laws In 2020
This morning, September 24, 2019, the US Department of Labor (DOL) published its final overtime rule. You can find it in full on the DOL’s website. The final rule is effective January 1, 2020, giving employers about 100 days to review and adjust the pay of their exempt workforce to comply with the law.
4 Key Takeaways Of The New Rules
- The new rule increases the salary level for the white-collar exemptions (executive, administrative, and professional). New salary level for white collar exemptions will be $684 per
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Am I entitled to overtime?
The Department of Labor issued new rules concerning whether employees gets overtime pay. Many employees and employers think that if someone is paid a salary, they do not have the right to overtime. That is often wrong. Even if employees gets a salary, they are often still entitled to overtime pay if they work more than 40 hours in a work-week. Here are some significant points from the new overtime rules that will help employers and employers figure out if they should be paid overtime:
1. Employees paid less than $47,476 per year (or $913 per week) generally are entitled…
New Laws in 2025
New year, new laws! In our 2025 annual legislative digest for Illinois’ small business community, we highlight seven new developments. Please note: This post covers only some of the new legislation taking effect this year and, while these laws certainly affect small businesses, there may be others as well. These laws make the following changes:
- The FTC’s battle to non-compete ban develops.
- Illinois updates how it regulates the collection of biometric information, like fingerprint and face scans.
- The state expands civil rights protections for reproductive decisions and family responsibilities.
- The state expanded protection for minors in the workforce.
- Employers must
Court Blocks New DOL Rule – But Only for Texas
On Friday, a federal district court granted a preliminary injunction sought by the State of Texas to block implementation of the U.S. Department of Labor’s new rule increasing minimum salaries for overtime exempt employee. However, the court limited the effect of its injunction to the State of Texas as an employer.
The court concluded that the DOL exceeded its authority by making salary level, rather than job duties, the deciding factor in determining whether many employees fall within the executive, administrative, and professional exemptions under the Fair Labor Standards Act. Although Texas asked for a nationwide injunction, the court declined…
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New DOL Rule Adds Civil Penalties for Taking Employee Tips
In 2018, Congress added a provision to the Fair Labor Standards Act prohibiting employers from retaining employee tips or allowing managers or supervisors to participate in a tip pooling arrangement. Today, the U.S. Department of Labor announced a new final regulation in which the DOL asserts authority to penalize employers up to $1,100 per violation of this provision, on top of any back wages owed. Prior rules published by the Trump administration also provided for civil penalties, but only in cases of “repeated and willful” violations. The new rule allows the DOL to pursue penalties even for a first offense…
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New 2021 Law Raises Minimum Wage for Illinois Workers

Laws are established for various reasons, mainly to keep citizens safe and provide for a fair society. The state of Illinois has several new laws taking effect in 2021, one of which affects employers and their employees. The minimum wage will increase to $11 per hour for standard workers; $6.60 per hour for tipped workers, and $8.50 per hour for workers under the age of 18 who work less than 650 hours in a calendar year. This new legislation is part of a staggered plan that will eventually raise the minimum wage to $15 per hour by 2025. However, many…
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What Will the Biden Administration Bring for Employers?
Contributed by Beverly Alfon, January 12, 2021
They say that the only constant in life is change. Here is a quick overview of the shift that we expect to see in the realm of labor and employment after President-elect Joe Biden takes office.
National Labor Relations Board (NLRB)
The NLRB is expected to have a Democratic majority as early as August 2021. The five-member Board currently has three Republican members, one Democrat, and one vacancy. The expectation is that the Biden administration will move quickly to fill the vacancy. In addition, the term of William Emmanuel, a Trump…
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What Does Burden of Proof Mean for Illinois Employers?

When you own a company, there are federal, state, and local laws you must follow in order to stay in business. Under the Fair Labor Standards Act (FLSA), U.S. employees have the right to receive a minimum hourly wage, in addition to “time-and-a-half” overtime pay when they work more than 40 hours within a seven-day period. It also prohibits the employment of minors in “oppressive child labor” conditions. If business owners do not adhere to these rules and regulations, then workers may file lawsuits against their employers if they can show that the company is in violation. However, the company…
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What Are the Penalties for Minimum Wage Violations in Illinois?

Illinois employers must meet certain regulations set forth by the federal and local governments to operate. These include safety protocols to ensure a safe and secure working environment, as well as a minimum wage amount paid to employees. On July 1, 2020, the Illinois minimum wage was set to $10.00 per hour for those workers who are age 18 or older. For jobs in which gratuities are paid to employees, such as in restaurants, an employer is allowed to pay 60 percent of the minimum wage to its workers. In addition, overtime must be paid after 40 hours of work…
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DOL Proposes Rule to Make Bonus and Incentive Pay Compatible With Fluctuating Workweek

U.S. DOL Issues Notice of Proposed Rulemaking
On November 5, 2019, the U.S. Department of Labor published a proposed rule that would make it easier for some employers to apply the “Fluctuating Workweek” method of calculating overtime pay for certain non-exempt employees.
Background
For those not familiar with the concept, the fluctuating workweek method is one way of calculating overtime pay for non-exempt employees who are paid a fixed salary but whose hours fluctuate from week to week. The fluctuating workweek method can be extremely advantageous for employers because it allows an employer to pay a non-exempt employee a fixed…