Delay in Implementing New Federal Overtime Rule?

At a recent American Bar Association conference, a U.S. Department of Labor attorney stated that the proposed overtime rule revisions are not likely to be finalized until late 2016.

Attorney Paul DeCamp with Jackson Lewis, discussing the implications of this in his recent blog post, commented that the delay may mean a shorter-than-expected implementation period between the published final rule and its effective date by which employers must come into compliance.

This delay is generally attributed to the Labor Department having received more than 250,000 comments to the proposed rule change.

Although uncertainty of the outcome of next year’s presidential election is also suggested as a factor in the timing and expected final version, most management attorneys are predicting that there will be an increase in the salary threshold for exempt status and are urging employers to begin reviewing job classifications now to avoid a last minute “crisis” rush to come into compliance.