What is the FLSA?

The Fair Labor Standards Act, more commonly known as FLSA, is a federal wage and hour law which was passed in 1938. The FLSA establishes minimum wage, overtime pay, recordkeeping, and child labor standards affecting full-time and part-time employees in the private sector and in Federal, State, and local governments. Compliance with the FLSA is enforced by the Wage and Hour Division of the U.S. Department of Labor (DOL). 

On April 23, 2024, the Department of Labor released new guidelines for positions currently classified as exempt. These positions must earn a higher salary if they meet certain tests that define what is considered exempt work. The current minimum annual salary is $35,568. 

What Has Changed with the FLSA?

Employees with a salary under $43,888 ($844 per week) will be designated as “non-exempt” making them eligible for overtime pay when physically working more than 40 hours within the workweek. In addition, the ‘highly compensated worker’ test and some special pay considerations have changed.

FLSA Rules Effective 7/1/2024

Salary Level Test $844 weekly or $43,888  yearly
Highly Compensated Worker Test $132,964 yearly

 For questions regarding the overtime changes, please contact your HR Consultant or call Human Resources at 540/568-7247.

Helpful References for Supervisors and Employees

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