54 | Classification Guidebook © 2024 Seyfarth Shaw LLP | www.seyfarth.com Explain that if a supervisor/manager has only two or three employees, it might be preferable to meet with these employees individually to cover the above topics. Confirm whether supervisors/managers feel comfortable covering these topics with impacted employees and responding to their follow-up questions. If they do not, develop back-up and “escalation” plan for elevating questions from impacted employees to HR or other resource. Brief Summary Do a quick review that describes what has been covered up to this point: o Why the change in classification o Impact on employees and leaders o Overtime guidelines o Ideas to share with non-exempt employees on how to manage overtime Escalation Process Any questions or concerns should be directed to HR. Summary Close the team meeting by referring back to the agenda and ensure that all items have been covered and questions have been answered. Change presents a challenge but positives can come from this. Hand Out Pay Policy and/or Other Relevant Documents B. Agenda and Talking Points for Meetings With Employee Groups Meetings With Groups of Affected Employees Thank you all for coming to this meeting. You may have heard in the news or elsewhere that the U.S. Department of Labor has updated regulations that define who is entitled to overtime pay under federal law. The key change involves the minimum salary level needed for employees to be considered “exempt” from the minimum wage and overtime pay requirements of the Fair Labor Standards Act. The “FLSA” is the federal law that requires businesses like ours to pay employees overtime when they work more than 40 hours in a workweek, unless they are exempt. Currently, employees whose primary duty is an executive, administrative, or professional function may, as a general matter, but must be paid in compliance with the salary requirements. Phase 1 rolled out on July 1, 2024, where exempt employees need to be paid a salary of at least $844 per week (or $43,888 per year) to remain exempt. That number will increase on January 1, 2025, to a salary of at least $1,128 per week (or $58,656 per year.)
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