Thursday, October 22, 2015

3 thorny people problems that will arrive with new OT rules

by Christian Schappel



Are you ready for the three most difficult conversations you’ve had in a while? You can thank the DOL for them. 

The agency’s changes to the FLSA overtime exemption rules aren’t just going to be a financial headache for employers; they’re also going to be a managerial dilemma.

If the final rules resemble anything close to the DOL’s proposal — which would crank up the minimum salary threshold for all exempt employees to $50,440 — large chunks of companies’ workforces are about to go from exempt to non-exempt.

Financial implications aside, that creates a huge management problem: The change in classification will feel like a demotion to employees.

They’ll blame the DOL, right?


If you think employees will curse the Obama Administration for what could essentially be an overnight change in their work arrangements/classifications, you’re in for disappointment.

Click here for entire article. 

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