Overtime Exemption Salary Increases Invalidated by Federal Judge

On Friday, November 15, 2024, a federal judge struck down the U.S. Department of Labor’s planned January 1, 2025, increase to the white-collar overtime exemption salary basis thresholds. Additionally, this ruling also invalidated the increase that went into effect on July 1, 2024.  As of now, the salary basis threshold has reverted to the 2020 standard of $684 per week ($35,568 annually).

This decision means that employers are not required to implement the January 1, 2025, increase as previously planned. However, any decisions to roll back changes made to comply with the July 1, 2024, increase are ultimately business decisions at the discretion of each organization. 

HR Partners recommends that employers take a cautious approach and consider waiting until the new administration takes office in January 2025 before making any significant changes. While it is likely that any appeal by the U.S. Department of Labor will be defeated, the new administration may propose a limited version of the changes. 

HR Partners is closely monitoring developments and will keep clients updated on any changes.  In the interim, if you have questions about how this decision impacts your organization or need assistance with compliance strategies, we would be pleased to assist. Please contact HR Partners at 785-233-7860.

The HR Partners Holiday Video - 2024

We appreciate your business, and we wish you nothing but the best for Christmas and the New Year holidays.

2025 will be an epic year and we can’t wait to work with you to continue the magic.

To view the video, click the image below or click here, and once you see the video on Vimeo, please click the play button. Enjoy!

 2024HRPVideo

 

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What our clients say...

MRH Insurance Group, Inc.

Ross T. Hendrickson

President
MRH Insurance Group, Inc.

"I want to thank you and your team again at HR Partners for your amazing work in securing a high-quality Customer Service Representative (CSR) for our Topeka MRH Insurance Group office.

Without a doubt, if it were not for your company’s ability to understand the different paths to communicate our need, we would not have been successful in securing, in our opinion, the very best CSR in Topeka. HR Partners was instrumental in providing the strategy to secure such an individual for our company and my workings with each and every member of your team was professional and impressive.

I shall ever be grateful for your assistance in helping our company grow in Topeka and northeast Kansas by securing the right MRH Team Member for our operation."