36 | Classification Guidebook © 2024 Seyfarth Shaw LLP | www.seyfarth.com [If back wage payments will be made] Each affected employee will receive a check for payment of overtime worked from [________] to [________]. Checks will vary and will be discussed in greater detail as we work through the distribution of checks later in this session. How This Affects Your Employees For any non-exempt employees, work in excess of 40 hours per workweek must be paid at premium overtime rates. To avoid unnecessary overtime costs, such employees may need coaching on how to leverage their time more efficiently. For similar reasons, afterhour meetings, events, and correspondence should be minimized. Non-exempt employees will need to seek approval before working unscheduled overtime—failure to do so is grounds for discipline. That said, all hours worked, even overtime that is not preapproved, must be recorded and will be paid. Employees moving to non-exempt status who are now working more than 40 hours can expect more of a balance with their personal life, which recent survey data suggests is a major concern for workers. How This Affects You, as a Leader of Impacted Employees Leaders will be expected to manage their time and the time of their employees effectively, efficiently, and, to the extent possible within the target budget. Leaders will need to be familiar with our timekeeping, overtime, and meal/rest break policies and vigilant about ensuring that non-exempt employees are following those policies and never working “off the clock.” We appreciate your cooperation in helping to ensure that the rollout of these changes goes as smoothly as possible. To that end, please do not hesitate to let us know if you have any questions or concerns. 4. Sample Email to Employees Whose Salary Will Increase TO: Affected Employees Under FLSA Exemption Rules RE: Your Compensation Changes We wanted to inform you of an adjustment to your compensation necessitated by a change in federal law. The U.S. Department of Labor has changed the rules concerning who may be classified as exempt from federal overtime pay requirements (i.e., ineligible for overtime pay). In response to the change, the Company has decided to raise your base salary [as a [OLD POSITION TITLE, IF NOT CHANGING; IF CHANGING, DO NOT REFERENCE TITLE HERE] to $[___] per week (which annualizes to $[___] per year) and to continue to classify you as an exempt employee. [IF TITLE OF POSITION IS CHANGING, ADD: The Company has also decided to change the title of your position to _____.] Just as before, your salary is intended to cover all hours that you work in any workweek, whether few or many.
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