As I have reported previously President Obama and the Department Of Labor have instituted an update to the salary threshold for an overtime exemption under the Fair Labor Standards Act. Currently the white collar exemptions to the overtime and minimum wage laws require an employee be paid a salary of at least $455 a week. This number was last increased by President George W. Bush in 2004.
The DOL rule raises the salary threshold to equal the 40th percentile of weekly earnings for full-time, salaried workers, bringing it to a projected level of $970 per week, or about $50,440 annually.
The rule is in the last stage of discussions and may be in effect later this year.
Of course the Republican party is fighting hard to prevent anything that might help American workers. On March 17 the GOP senate introduced the Protecting Workplace Advancement and Opportunity Act. The act would nullify any rule changes by the DOL and require any change to the current white collar exemptions be made by statute rather than administrative rule changes.
Hopefully President Obama will use his veto power to stop this bill from becoming law if it passes the House and Senate. The DOL rule change will be one of President Obama’s greatest accomplishments. And it is another reason why electing the Democratic Party candidate as President is so vitally important.