FLSA – On December 1st, the federal annual salary threshold for employees exempt form overtime pay will double, increasing to $47,476 from $23,660. Employees who make less than the threshold must be paid time-and-a-half for any hours worked beyond the 40-hour workweek. Many employers will not be able to increase salaried employees’ pay to the new higher amount so those employees will become non-exempt.
NOTE FROM RANDY: FOR YOUR OWN INFORMATION, THIS DEPARTMENT OF LABOR REGULATION WAS EFFECTIVELY PUT ON HOLD BY A FEDERAL JUDGE. However, please proceed as if this regulation is in effect.
Answer the following questions in a total of 525 to 700 words:
- Using IN-TEXT citation, explain the history of the federal salary threshold of the Fair Labor Standards Act of 1938, dating back to the original salary threshold.
- What will the recruiting challenges be if employees were to change from exempt to non-exempt.
- What will the work-life balance challenges be? (telecommuting, flexibility)
Cite your sources according to APA formatting guidelines.