On March 17, 2016 Republicans in the House and Senate introduced the “Protecting Workplace Advancement and Opportunity Act”, in an attempt to reverse potential changes to the white-collar overtime exemption regulations of the Fair Labor Standards Act (FLSA). Proponents of the new bill cited concern over the possibility that the changes could lead to fewer hours for employees, and less opportunity for advancement. The new requirements will have an estimated cost of $8.4 billion per year, which has raised concerns among small and large businesses, nonprofits, municipalities and schools. The bill would require the department of Labor (DOL) to conduct a comprehensive economic analysis of the effect the bill would have on U.S. businesses, prohibit automatic increases in the salary threshold and require that any future changes to the duties test be subject to notice and comment.

The bill must be approved by both the House and the Senate, and be signed by the President to make it into law. Stay tuned on this developing legislative process.

For more information on the FSLA and the proposed changes, read HW&Co.’s article at https://www.hwco.com/proposed-changes-department-labor-overtime-exemption-regulations-mean-business/