New federal overtime rules: you'll need to take a careful look at job duties, not just job titles.Whether a business is conducting temporary hiring for its busy season or planning ahead for recruitment and retention strategies for next year, employers need to be aware of how they are affected by the U.S. Department of Labor's new overtime regulations.
Many employers become a bit confused by laws such as the new overtime rules, which generally come down to interpretation. To keep it clean and simple, one should look at job duties, define the duties and then seek outside advice. A common mistake is thinking that a position's title is what determines whether an employee is exempt from overtime rules.
Employees who are exempt from overtime pay generally include those who make significant decisions for the company, such as hiring and firing employees, or decisions concerning marketing and sales. Those whose primary work includes inventing and originality o·rig·i·nal·i·ty
n. pl. o·rig·i·nal·i·ties
1. The quality of being original.
2. The capacity to act or think independently.
3. Something original.
Noun 1. are also considered exempt from overtime pay.
Workers who earn an annual income of $23,660 or less are eligible for overtime if they work beyond 40 hours a week. The Labor Department The Department of Labor (DOL) administers federal labor laws for the Executive Branch of the federal government. Its mission is "to foster, promote, and develop the welfare of the wage earners of the United States, to improve their working reports approximately 1.3 million workers will become eligible under the new regulations.
If any changes in classifications occur--for example, if an employee goes from exempt to non-exempt--an employer should sit down and explain the situation immediately. An employer should help the employee understand the rules.
The new rules state that exemptions do not apply to manual laborers or other "blue collar" workers, who perform work that uses repetitive operations with their hands, physical skill and energy. Police officers, firefighters, paramedics, licensed practical nurses li·censed practical nurse
Abbr. LPN A nurse who has completed a practical nursing program and is licensed by a state to provide routine patient care under the direction of a registered nurse or a physician. and other similar health-care employees, generally referred to as first responders first responder First response personnel Emergency medicine A person employed in the public sector–EMT, fire fighter, police, volunteer EMS–whose duties include provision of immediate medical care in the event of an emergency; FRs have basic emergency , are not considered exempt. "White collar" employees who earn an annual income of $100,000 or more will now be exempt from overtime pay.
Whatever an employee's job, it is advised that employers determine a worker's eligibility on a case-by-case Adj. 1. case-by-case - separate and distinct from others of the same kind; "mark the individual pages"; "on a case-by-case basis"
item-by-item, individual basis. Evaluate the status of your employees right away. Look at your policies and make sure they are within guidelines guidelines,
n.pl a set of standards, criteria, or specifications to be used or followed in the performance of certain tasks. . Evaluate job descriptions and details to ensure they meet testing requirements. If anything needs to be changed to fit regulations, it should be job duties--not job titles.
By Mario Apruzzese, CPA (Computer Press Association, Landing, NJ) An earlier membership organization founded in 1983 that promoted excellence in computer journalism. Its annual awards honored outstanding examples in print, broadcast and electronic media. The CPA disbanded in 2000.
Mario Apruzzese is CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Employees Only Inc. in Troy, a Silver-level member of the Detroit Regional Chamber.