The U.S. Department of Labor (DOL) recently published its spring regulatory agenda containing a tentative date of October 2022 for a proposed overtime rule. The Overtime Rule. @media (max-width: 992px){.usa-js-mobile-nav--active, .usa-mobile_nav-active {overflow: auto!important;}} The department believes the new rule would preserve essential worker rights and provide consistency for regulated entities. According to the agency's regulatory agenda, this proposed rule is expected to address how to implement the exemption of executive, administrative and professional employees from the Fair Labor Standards Act's (FLSA) minimum wage and overtime . The new standard will revise the 2020 Trump Administrations final rule, which reversed the Obama-era NLRB decision in the 2015Browning-Ferris Industriescase and established that an entity can only be a joint employer if it actually exercises control over the essential terms and conditions of another employers employees. if(currentUrl.indexOf("/about-shrm/pages/shrm-china.aspx") > -1) { June 27, 2022. Specifically, the proposed rule would do the following: The department is responsible for ensuring that employers do not misclassify FLSA-covered workers as independent contractors and deprive them of their legal wage and hour protections. On June 21, the Biden administration released the anticipated Spring 2022 Unified Agenda of Regulatory and Deregulatory Actions (Regulatory Agenda), providing the public with a detailed glimpse into the regulatory and deregulatory activities under development across approximately 67 federal departments, agencies and commissions. CUPA-HR filed anextension request with the department asking for an additional 90 days to evaluate the NPRMs impact on [members] research missions and collect the information needed in order to provide thoughtful and accurate input to the USDA, as well as official comments that were pulled from 2012 comments CUPA-HR submitted with the Society for Human Resource Management (SHRM). p:first-child.is-empty.d-none, .ms-rtestate-field > .fltter .is-empty.d-none, .ZWSC-cleaned.is-empty.d-none {display:block !important;}'; Please enable scripts and reload this page. The materials and information included in the XpertHR service are provided for reference purposes only. .dol-alert-status-error .alert-status-container {display:inline;font-size:1.4em;color:#e31c3d;} Partner Russell Bruch spoke to HR Today about a proposed US Department of Labor overtime rule expected to lead to increased eligibility for overtime pay. You have successfully saved this page as a bookmark. Comments, which must be submitted from Oct. 13 to Nov. 28, 2022, should be submitted online or in writing to the Division of Regulations, Legislation and Interpretation, Wage and Hour Division, U.S. Department of Labor, Room S-3502, 200 Constitution Ave. NW, Washington, DC 20210. "Snowy Labor Department Sign" [photograph]. The Act applies on a workweek basis. Among the subject matter priorities included in the draft plan are: IRS Increases Mileage Rates by Three Cents The Internal Revenue Service (IRS) advised that the optional standard mileage rates used to calculate the deductible costs of operating an automobile for business purposes increased by three cents to 65.5 cents per mile effective on January 1, 2023. As an update, the April deadline has passed, but it is now anticipated that the DOL intends to propose new FLSA overtime rules this October. The agency already has missed its target for the overtime rule twice. The U.S. Department of Labor in September 2019 updated the federal overtime rules regarding executive, administrative, and professional workers. Preserving access to the legal system focusing on overly broad waivers, releases, non-disclosure agreements or non-disparagement agreements, mandatory arbitration provisions, failure to keep applicant and employee data and records, and retaliatory practices that dissuade employees from exercising their rights. Members may download one copy of our sample forms and templates for your personal use within your organization. Thank you again for providing me the opportunity to testify on the Department of Labor final overtime rule, and I would be happy to answer any questions that any of the members may have. 2022: Fall 2022 Rulemaking Comments. Rescind the 2021 Independent Contractor Rule. In 2016, a proposed change would have moved the salary threshold from $455 per week ($23,660 annualized) to $913 per week ($47,476). @media only screen and (min-width: 0px){.agency-nav-container.nav-is-open {overflow-y: unset!important;}} Let HR Dive's free newsletter keep you informed, straight from your inbox. DOL had previously planned to release the proposed rule in October 2022. Although there are no legal implications regarding the administration's failure to issue the agenda in a timely manner, there are important considerations for the regulated community. The most recent regulatory agenda set the date at May 2023. . The new proposal is likely to be issued in the near future and could be issued as early as this month. Fair Labor Standards Act The FLSA establishes minimum wage, overtime pay, and payday standards, in addition to recordkeeping obligations . United States Department of Labor Washington, DC 20210 Re: Overtime Regulations Proposed in the Fall 2021 Regulatory Agenda Dear Acting Administrator Looman: . $('.container-footer').first().hide(); The FTC stated that the proposed rule would apply to employees, independent contractors, and volunteers. Please purchase a SHRM membership before saving bookmarks. USCIS Modernizing H-1B Requirements and Oversight and Providing Flexibility in the F-1 Program, In May 2023, the Department of Homeland Security (DHS)s United States Citizenship and Immigration Services (USCIS) plans to release an NPRM to amend its regulations governing H-1B specialty occupation workers and F-1 students who are the beneficiaries of timely filed H-1B cap-subject petitions. The NPRM will specifically propose to revise the regulations relating to employer-employee relationship and provide flexibility for start-up entrepreneurs; implement new requirements and guidelines for site visits including in connection with petitions filed by H-1B dependent employers whose basic business information cannot be validated through commercially available data; provide flexibility on the employment start date listed on the petition (in limited circumstances); address cap-gap issues; bolster the H-1B registration process to reduce the possibility of misuse and fraud in the H-1B registration system; and clarify the requirement that an amended or new petition be filed where there are material changes, including by streamlining notification requirements relating to certain worksite changes, among other provisions., ICE Optional Alternative to the Physical Examination Associated With Employment Eligibility Verification (Form I-9), According to the Regulatory Agenda, DHS plans to issue an NPRM in July 2022 to revise employment eligibility verification regulations to allow the Secretary to authorize alternative document examination procedures in certain circumstances or with respect to certain employers.. On February 22, 2023, the final farm labor overtime regulations were adopted, codifying Commissioner Reardon's order adopting the recommendation of the Farm Laborers Wage Board to lower the current 60-hour threshold for overtime pay to 40 hours per week by January 1, 2032, allowing 10 years to phase in the new threshold. Now is a great time to put your "HR house" in order when it comes to accurate exempt/non-exempt classifications and earning thresholds. If such an increase is proposed, it will impact millions of workers and almost certainly meet resistance in federal courts from private employers and business groups. 2023 Locke Lord LLP | Attorney Advertising, Employee Benefits & Executive Compensation, Environmental, Social and Governance (ESG). That salary threshold had been set at $23,600 ($455 per week) since 2004, and DOL sent shockwaves through the employment community when it proposed and finalized a rule to more than double . Citizenship and Immigration Services (USCIS) to create a process to defer theremoval of certain noncitizens who years earlier came to the United States as children, meet other criteria and do not present other circumstances that would warrant removal, according to the DHS. Some of the topics on which comment was requested, along with a number of alternative approaches described in the proposed rule, suggests that the ultimate product of the rulemaking may be less than a total ban. Consistent with the presidential memorandum, the DHS published a notice of proposed rulemaking on Sept. 28, 2021, to consider all issues regarding DACA, including those identified by the district court relating to the policy's substantive legality. var temp_style = document.createElement('style'); The new rule goes into effect January 1, 2020. How much of a salary increase the DOL will propose and if it will seek to index the threshold to some cost of living measure remains unknown at this time. Employers can change that, Twin Cities hospital workers call out racism, demand change from employers, Top 10 Workplace Trends for Thriving Work Environments, Caregiving Support: A Smart Investment for Employers in an Uncertain Economy, 5 Workplace Gaps Employers Cant Afford to Ignore, Top Compensation Sins HR Execs Must Avoid, Rethinking Population Health and the Intersection of the Primary Care Experience, NLRBs severance ruling has broad implications for employers. To proceed with deleting bookmark new proposal is likely to be issued in the XpertHR service are provided for purposes. In order when it comes to accurate exempt/non-exempt classifications and earning thresholds members may download one copy of sample!, and more for reference purposes only to accurate exempt/non-exempt classifications and earning thresholds minimum wage overtime. 'Style ' ) ; the new rule goes into effect January 1, 2020 the near future could. 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