The new minimum salary level for the executive, administrative, and professional employee overtime exemptions under the Fair Labor Standards Act (FLSA) will be $913 per week, or $47,476 per year, according to an article on the JD Supra Business Advisor website.
Depending on the financial and workforce implications for individual healthcare facilities, adjustments will need to be implemented in response to the new rule no later than December 1, 2016.
The Department of Labor has projected that millions of workers in the healthcare industry will potentially be impacted by the new rule. The new minimum salary level of $47,476 per year will apply to exempt employees who work in administration, information technology, therapy, human resources, facility and department management, marketing, technical, compliance, medical records and other departments, according to the article.
To comply with the new regulations, healthcare employers will either be required to increase employees’ salary levels to maintain their exempt status or convert previously exempt employees to nonexempt status and pay them overtime.
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