Scarinci Hollenbeck, LLC, LLCScarinci Hollenbeck, LLC, LLC

Firm News

Is It Time for Employers to Start Preparing for New Overtime Rules?

Author: Scarinci Hollenbeck, LLC

Date: June 9, 2015

Key Contacts

Back

The Department of Labor is expected to unveil its new overtime rules later this month.

For New York and New Jersey employers, it is never too soon to start preparing for the new overtime rules.

Existing Federal Overtime Laws

Under the Fair Labor Standards Act, employees must receive overtime pay for hours worked in excess of 40 in a workweek at a rate not less than time and one-half their regular rates of pay, unless they are specifically exempted. Where workers are subject to both the state and federal overtime laws, they are entitled to be paid in accordance with the standard that provides the higher rate of pay.

The most notable FLSA overtime exemption covers “executive, administrative and professional” employees and is often referred to as the “white collar” exemption. To qualify, employees generally must meet certain tests regarding their job duties and be paid on a salary basis at not less than $455 per week ($23,660 annually).

For instance, in order to qualify for the administrative exemption, the employee’s primary duty must be the performance of office or non-manual work directly related to the management or general business operations of the employer or the employer’s customers, including the exercise of discretion and independent judgment with respect to matters of significance.

Changes to the White Collar Exemption

Last year, President Barak Obama signed a Presidential Memorandum directing the Department of Labor to update the overtime regulations defining which white-collar workers are eligible to receive pay for hours worked over 40 in a workweek. In his directive, the President highlighted that the threshold has failed to keep pace with inflation, only being updated twice in the last 40 years. As a result, he argues that many lower-paid, salaried workers are not eligible for overtime wages.

The DOL’s proposed amendments to the FLSA’s overtime regulations are expected to significantly increase the salary threshold for overtime pay. Although the exact figure is not yet known, some are predicting it could be as high as $50,000. As more workers fall under the purview of the FLSA, employers should expect overtime suits to rise as well. It is, therefore, a good time for employers to review their policies and procedures.

The proposed rule is currently being reviewed with Office of Management and Budget for review. Once it is released to the public, we will post additional updates, so please stay tuned.

No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

Scarinci Hollenbeck, LLC, LLC

Related Posts

See all
Christopher D. Warren Appointed to NJ Ethics Committee post image

Christopher D. Warren Appointed to NJ Ethics Committee

Scarinci Hollenbeck Partner Christopher D. Warren Named to New Jersey Supreme Court District VI Ethics Committee Little Falls, NJ — September 5, 2025 — Scarinci Hollenbeck, LLC is proud to announce that Christopher D. Warren, Partner, has been appointed to serve on the New Jersey Supreme Court District VI Ethics Committee for the term 2025–2029. Mr. Warren brings more than […]

Author: Scarinci Hollenbeck, LLC

Link to post with title - "Christopher D. Warren Appointed to NJ Ethics Committee"
Scarinci Hollenbeck Awards Inaugural Theodore A. Schwartz Scholarship for Environmental Law post image

Scarinci Hollenbeck Awards Inaugural Theodore A. Schwartz Scholarship for Environmental Law

Scarinci Hollenbeck Congratulates Theodore A. Schwartz Scholarship Recipient Adrienne Aiken Little Falls, NJ — July 21, 2025 — Scarinci Hollenbeck, LLC established the Theodore A. Schwartz Scholarship for Environmental Law to recognize the contributions of retired partner Theodore “Ted” Schwartz and support the next generation of environmental lawyers. Adrienne Aiken, the recipient of the 2025 […]

Author: Scarinci Hollenbeck, LLC

Link to post with title - "Scarinci Hollenbeck Awards Inaugural Theodore A. Schwartz Scholarship for Environmental Law"
Scarinci Hollenbeck Attorneys Recognized as 2026 Best Lawyers in America® post image

Scarinci Hollenbeck Attorneys Recognized as 2026 Best Lawyers in America®

Ten Scarinci Hollenbeck Attorneys Recognized in 2026 Edition of Best Lawyers in America© Little Falls NJ – August 28, 2025 – Scarinci Hollenbeck, LLC is pleased to announce that ten attorneys have been recognized in the 2026 edition of The Best Lawyers in America®. First published in 1983, Best Lawyers is universally regarded as the definitive guide to legal excellence. […]

Author: Scarinci Hollenbeck, LLC

Link to post with title - "Scarinci Hollenbeck Attorneys Recognized as 2026 Best Lawyers in America®"
Donald M. Pepe Named GlobeSt. Influencer in Industrial Real Estate post image

Donald M. Pepe Named GlobeSt. Influencer in Industrial Real Estate

Scarinci Hollenbeck Partner Recognized for Continued Impact on Industrial Real Estate Industry Little Falls, NJ — July 25, 2025 — Scarinci Hollenbeck, LLC Partner Donald “Don” Pepe was recently recognized as a 2025 Influencer in Industrial Real Estate by GlobeSt, a leading commercial real estate publication. The GlobeSt award recognizes the professionals, teams, and companies […]

Author: Scarinci Hollenbeck, LLC

Link to post with title - "Donald M. Pepe Named GlobeSt. Influencer in Industrial Real Estate"
Scarinci Hollenbeck Expands NYC Real Estate and Litigation Practices ADDING Four Litigators post image

Scarinci Hollenbeck Expands NYC Real Estate and Litigation Practices ADDING Four Litigators

NYC Real Estate and Litigation Attorney Ryan O. Miller and Team Join Scarinci Hollenbeck, LLC New York City, NY – August 13, 2025 – Scarinci Hollenbeck, LLC has strengthened its Real Estate and Litigation practices with the addition of four New York City-based attorneys. Ryan Miller, who joins as a partner, is well known for […]

Author: Scarinci Hollenbeck, LLC

Link to post with title - "Scarinci Hollenbeck Expands NYC Real Estate and Litigation Practices ADDING Four Litigators"
Bloomberg Law Podcast Discusses Shaquille O’Neil FTX Settlement With Ron Bienstock post image

Bloomberg Law Podcast Discusses Shaquille O’Neil FTX Settlement With Ron Bienstock

Bloomberg Law Podcast Discusses Shaquille O’Neil FTX Settlement With Ron Bienstock Little Falls, NJ – June 24, 2025 – Scarinci & Hollenbeck, LLC Partner and Chair of the firm’s Intellectual Property and Entertainment & Media departments Ronald S. Bienstock recently joined the Bloomberg Law podcast to discuss Shaquille O’Neal settling a class-action lawsuit over his FTX endorsement. […]

Author: Scarinci Hollenbeck, LLC

Link to post with title - "Bloomberg Law Podcast Discusses Shaquille O’Neil FTX Settlement With Ron Bienstock"

No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

Sign up to get the latest from our attorneys!

Explore What Matters Most to You.

Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.

Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.

Let`s get in touch!

* The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form. By providing a telephone number and submitting this form you are consenting to be contacted by SMS text message. Message & data rates may apply. Message frequency may vary. You can reply STOP to opt-out of further messaging.

Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!