According to a report from Bloomberg, a new rule adjusting the minimum salary threshold for many exemptions under the Fair Labor Standards Act is pending with the White House Office of Management and Budget. Industry professionals may recall that a similar rule was blocked by a federal district court in Eastern Texas in December 2016. That rule sought to raise the salary threshold to $47,476 (annualized), with a minimum guaranteed weekly salary of $913, from the current level of $23,660 (annualized), or $455 weekly. That rule never formally died, but it was tabled by the Trump Administration. The new level is reported at $35,000, roughly $673, but details remain unknown. There are also reports that the rule may include provisions to adjust for an inflation, the lack of which has been repeatedly cited for the low salary level prevailing today.
Employers Council will issue more information on this important topic as it becomes available.