Salary Threshold as of December 31, 2021. Cook County: $13.00 per hour; $7.20 per hour for tipped employees, Portland: $13.00 per hour; $6.50 per hour for tipped employees, Montgomery County: $15.00 + CPI increase for large employers (51 or more employees) as of July 1, 2022; $14.50 for midsized employers (11 to 50 employees) as of July 1, 2022; $14.00 for small employers (10 or fewer employees) as of July 1, 2022, Minneapolis: As of July 1, 2022, $15.00 per hour (up from $14.25) for employers with 100 or more employees and $13.50 per hour (up from $12.50) for employers with fewer than 100 employees, Saint Paul: As of July 1, 2022, $15.00 per hour (up from $12.50) for employers with more than 10,001 employees, $13.50 per hour (up from $12.50) for employers with between 101 and 10,000 employees, $12.00 per hour (up from $11.00) for employers with between 6 and 100 employees, and $10.75 per hour (up from $10.00) for employers with 5 or fewer employees. "Think about your pay practices as a [Department of Labor] investigator would.". Any business that (1) employs one or more employees in New York City and (2) has. Lastly, exempt salary thresholds are also increasing in some states. (2) $101,250 for those who meet the duties-requirements for HCE employees. Litigating a wide variety of employment-related claims, including discrimination, harassment, You are responsible for reading, understanding and agreeing to the National Law Review's (NLRs) and the National Law Forum LLC's Terms of Use and Privacy Policy before using the National Law Review website. If you live in a county with a special exempt threshold and do not see it listed, visit your district Department of Labor website to obtain accurate information. Yes. How high might it go? Pipeline Safety Act Preemption with Keith Coyle [Podcast], OFCCP Implements New Disability Self-Identification Form. if(currentUrl.indexOf("/about-shrm/pages/shrm-china.aspx") > -1) {
The minimum wage rate in New York City is based on the size of the employer. Administrative, professional and computer employees may be paid on a fee basis rather than on a salary basis. At the end of last year, more than 100 unions and advocacy groups called on the DOL to raise the salary threshold for exempt workers to $73,551 per year and to $82,745 annually by 2026. [SHRM members-only HR Q&A:What are the federal, state and local minimum wage rates?]. The state's minimum wage for 2023 is $15.74 an hour. $("span.current-site").html("SHRM MENA ");
Isolated or inadvertent improper deductions will not result in loss of the exemption if the employer reimburses the employee for the improper deductions. In Washington, employees must satisfy certain salary and duties tests to be classified as exempt from overtime under state law. The salary rates may vary depending on the city/county where an employee resides/works in California. The following is a comprehensive list of the exempt status salary threshold by state. This rate must be used to calculate other wage and hour requirements such as overtime and spread of hours. .usa-footer .grid-container {padding-left: 30px!important;} The site is secure. For additional information, visit our Wage and Hour Division Website: http://www.dol.gov/agencies/whd and/or call our toll-free information and helpline, available 8 a.m. to 5 p.m. in your time zone, 1-866-4USWAGE (1-866-487-9243). Please purchase a SHRM membership before saving bookmarks. Civil monetary penalties are available against employers, managers or supervisors who take tips earned by their employees. }); if($('.container-footer').length > 1){
The exempt salary thresholds in Alaska and Maine are also tied to the state minimum wage, although Alaska's minimum wage is not scheduled to change for 2022. Employers may want to consult legal counsel about how this rule may impact them. The federal Fair Labor Standards Act (FLSA) requires most businesses to pay employees 1 1/2 times their regular rate of pay for all hours worked beyond 40 in a workweek unless they fall under an exemption. Some cities in California also have midyear changes scheduled. L&I now uses a multiplier of the state minimum wage to determine the minimum salary threshold. On December 31, 2021, the minimum wage is increasing in every region except New York City. To be classified as exempt from overtime under state law, administrative, professional, and executive employees must satisfy certain salary and duties tests and receive a salary that exceeds 3000 times the state minimum wage. As a result, the minimum salary required for the executive and administrative exemptions will increase on December 31, 2021 as follows: Note: There is also a professional exemption under state law. [CDATA[/* >