Maine Department of Labor Announces 2016 Raise in White Collar Salaried Worker's Salary Threshold

Salaried Workers and Overtime Eligibility

On June 30, 2015, the U.S. Department of Labor (USDOL) announced a proposed rule to raise the threshold under which most salaried workers are guaranteed overtime. As proposed, the new rule would raise the salary threshold for “white collar” workers from $455 a week ($23,660 a year) to a projected level of $970 a week ($50,440 a year) starting sometime in 2016.

The proposed rules will impact state statutes as well. The annualized rate established by USDOL under the FLSA is currently enforced in Maine.

Neither job titles nor a white collar employee being paid on a salary alone determines exempt status from the FLSA's minimum wage and overtime requirements. For an exemption to apply, an employee's specific job duties and salary must meet all of the applicable requirements.

FLSA Things to Know

• Most covered non-exempt workers must receive at least minimum wage and overtime for hours worked over 40 in a workweek.
• Certain white collar executive, administrative, and professional employees are excluded from these minimum wage and overtime requirements. As are certain computer professionals and outside sales employees.
• A copy of the 259 page notice.

USDOL is Also

• Proposing to automatically update the standard salary.
• Soliciting suggestions on the current duties for additional occupation examples.
• Requests comments on the current requirements.
• Seeking comment on the possibility of including non-discretionary bonuses to satisfy a portion of the standard salary requirement.

Public comments are accepted from July 6 through September 4, 2015.