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Changes in Overtime Law and Employee Classifications

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5 posts
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Zack Pawlosky
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Hi All-

I'd love to know how other agency are handling this. Are you allowing overtime? Do you bill your clients more if the staff is in OT? Any feedback is appreciated!

Here's the article: http://www.businessmanagementdaily.com/45745/final-ot-rule-due-in-july-effective-60-days-later

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DebB_SW
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We just wrote about this issue in the Winter 2015 Second Wind Magazine (FLSA Overtime Rules Are Changing, p. 15:

https://www.secondwindonline.com/winter-2015​

It provides some additional details, links and strategies for adjusting to the change. We're also interested to hear if members expect to make substantial adjustments in worker salaries and classifications.

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KathyPetroraio
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1

DebB_SW. Your article was about "proposed" changes. Did the changes take affect? I can't find anything on line to confirm the changes having taken affect yet.

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juan_gomez
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Kathy,

I had my office manager look into this, and the changes have not taken effect, our HR Outsource Firm, mentioned that they think these changes will take effect in Q2-Q3 of 2016.  Per the article you will have 60 day's to make modifications to be in compliance, I would just recommend you ensure you clasify the employees correctly EXEMPT / NON-EXEMPT now and start planning for this change in 2016-2017.  I am also keeping an eye on this for our firm.

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terry4182
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I just attended a webinar given by Fisher & Phillips labor law firm on this topic. The change is still proposed, it's not law.

They had some tactics to consider if the change takes place. The Fluctuating Rate Pay Plan helps keep the overtime rate down.

I've seen other articles that suggest starting salaries may be lower in order to compensate for possible overtime, or more responsibilities will be given to exempt employees. This will be a very serious change if it takes effect. You can visit the Fisher & Phillips website and subscribe to their blog and/or newsletter to keep informed. I do not work for them - I'm an ad firm COO. Started to sound like I was shilling for them ----

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