NEWS OF INTEREST
New U.S. Department of Labor Overtime Rule
The U.S. Department of Labor (USDOL) gave final approval to the new overtime rule on April 23, 2024. The Final Rule, which will go into effect on July 1, 2024, will increase the standard salary level that delineates which salaried workers are entitled to overtime pay under the Fair Labor Standards Act (FLSA). Starting July 1, most salaried workers who earn less than $844 per week will become eligible for overtime pay under the final rule. And on Jan. 1, 2025, most salaried workers who make less than $1,128 per week will become eligible for overtime pay. As these changes occur, job duties will continue to determine overtime exemption status for most salaried employees.
The rule will also increase the total annual compensation requirement for highly compensated employees (who are not entitled to overtime pay under the FLSA if certain requirements are met) from $107,432 per year to $132,964 per year on July 1, 2024, and then set it equal to $151,164 per year on Jan. 1, 2025. Starting July 1, 2027, these earnings thresholds will be updated every three years.
The following link is an article with more information on the USDOL website: What the New Overtime Rule Means for Workers | U.S. Department of Labor Blog (dol.gov)
A link to the Final Rule on the Federal Register is HERE.
Minimum Wage Increase
Starting January 1, 2025, Illinois minimum wage will increase to $15 per hour.
Paid Leave for All Workers Act signed into law Public Act 102-1143 (SB208)
Illinois workers will begin earning paid time off starting January 1, 2024.
Law allows workers to earn up to 40 hours of paid leave time that they can take for any reason. Workers earn 1 hour of leave for every 40 hours worked. Employees can begin using their time starting March 31, 2024, if they are already employed, or 90 days after they start a job.
Prevailing Wage Database Available for Public to Monitor Wages Paid on Projects
Effective January 1, 2022, the Illinois Department of Labor will be responsible for maintaining a database that allows the public to search certified payrolls submitted by construction contractors on public works projects subject to the Illinois Prevailing Wage Act. (12-6-21)