Fair Labor Standards Act (FLSA) and Overtime
What is FLSA?
FLSA is an acronym that stands for Fair Labor Standards Act. This federal law was implemented to establish minimum wage and overtime guidelines.
Updates to FLSA - Effective with the 11/20/16 pay period
The U.S. Department of Labor updated the FLSA regulations related to overtime and exemptions for executive, administrative, and professional employees. Currently, workers who earn less than $23,660 per year ($455/week) are considered non-exempt (hourly) from the overtime provisions of the FLSA, and therefore are paid one and one-half times regular pay for overtime hours. The updated regulations increase this salary threshold from $23,660 per year to $47,476 per year ($913/week).
How will the updates affect K-State employees?
If an employee earns less than $47,476 their job will transition from exempt (salaried) to non-exempt (hourly), meaning they transition from being exempt to not exempt from the FLSA overtime regulations. In addition to meeting this minimum salary threshold, exempt workers must meet the salary basis and job duties criteria. Note that different salary threshold criteria apply for members of specific professions in the teaching field.
The most important changes due to this transition are that non-exempt employees will be:
- required to track all hours worked, and
- eligible to receive overtime pay or comp-time for hours worked in excess of the standard 40-hour workweek.