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Human Capital Services

Fair Labor Standards Act (FLSA) and Overtime

What is FLSA?

FLSA is an acronym that stands for Fair Labor Standards Act. This federal law establishes minimum wage and overtime requirements.

FLSA Basics

The Fair Labor Standards Act (FLSA) affects most private and public employment. The FLSA requires employers to pay covered non-exempt employees at least the federal minimum wage and overtime pay for all hours worked in excess of 40 in a work week. Covered employees must be paid for all hours worked in a work week. In general, compensable hours worked include all time an employee is suffered or permitted to work, or in other words, whenever an employee is required or allowed to perform work for the employer.  This would generally include work performed at home, travel time (except for travel to and from work), waiting time, training and probationary periods.

  • Federal Minimum Wage:  $7.25 per hour effective July 24, 2009
  • Overtime for hours worked in excess of 40 hours in a work week:  One and one-half times an employee's regular rate of pay

To qualify for exemption from overtime pay, employees must meet certain tests regarding their job duties and be paid on a salary basis at or above the minimum salary threshold. At K-State, the minimum salary threshold is currently $47,476 per year ($913 per week).

Updates to FLSA

In 2016, the U.S. Department of Labor (DOL) adopted a rule related to overtime and exemptions for executive, administrative, and professional employees, which was to increase this salary threshold from $23,660 per year ($455 per week) to $47,476 per year ($913 per week).  However, on November 22, 2016, a federal district court issued an injunction that halted the implementation of the new rule.  The University elected to maintain this higher threshold, even though the 2016 federal rule ultimately was not implemented.

On September 24, 2019, the DOL issued a new final rule that raises the minimum salary threshold for exemption from $23,660 per year ($455 per week) to $35,568 per year ($684 per week). No changes to the duties test are made in this ruling. The ruling is effective as of January 1, 2020.

How will the latest update affect K-State employees?

Based on the University's decision in November of 2016 to adopt the salary threshold proposed at that time, we are already in compliance with the new January 2020 rule.  Human Capital Services has been evaluating the impact of this new rule and is working with university leaders accordingly.

K-State will adopt the Department of Labor's new salary threshold for exemption from overtime in alignment with the beginning of the new fiscal year, June 14, 2020.  Until that time we will continue utilizing the previously adopted $47,476/yr as K-State's salary threshold for exemption for current employees and any new hires joining the university in advance of the threshold change.

The university is adopting the salary threshold established in the new federal rule, starting with the first pay period of fiscal year 2021, which begins in mid-June, 2020.  We will communicate with supervisors and employees as we partner with university leaders to implement this change for next fiscal year.

In the meantime, please keep in mind that any review to determine FLSA exemption eligibility will require a current position description so that we can ensure we’re evaluating based on what the job looks like today.  HCS will be working with supervisors to ensure information that is reviewed is accurate leading up to any decisions regarding a change in exemption status.  In anticipation of that, departments should consider reviewing and updating position descriptions now, as necessary, to include accurate listing of duties and percentages of time.

Please reference 2020 FSLA Implementation for more details.

Learn more

Read about the updated regulations, review resources for managers, complete online training or view a list of frequently asked questions about FLSA.