The Impact of Proposed Federal Overtime Rule Changes on Colleges and Universities

Under the current regulations, an individual is classified as a “white collar” employee exempt from federal overtime pay requirements if paid a salary of at least $23,600 annually and has duties that require independent judgment and discretion. Under the proposed rules, the salary threshold would be raised significantly so that current exempt employees making less than $50,440 in 2016 would no longer be “exempt,” requiring that they be paid on an hourly basis and entitled to overtime pay. More...