New Regulations are Coming – Will you be Eligible for Overtime Pay?

The U.S. Department of Labor is proposing a new, controversial overtime regulation to make more employees eligible to receive overtime pay. This new set of rules comes in two parts, the first of which will take effect on July 1, 2024. The salary threshold for those eligible for overtime will be raised from $35,600 per year to $44,000. On January 1, 2025, a second bump will bring the threshold all the way up t $58,600 per year, which is a massive 63% increase from the current threshold. In addition to these raises, the new regulation includes an automatic escalator clause that will reset the threshold every three years.