Labor Watch

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If you have any questions in regards to the above, please do not hesitate to contact our offices so that we may explain the amendments to the provisions of the Code in more detail. Our address is:

 

Fiddler González & Rodríguez, P.S.C., P.O. Box 363507, San Juan, PR 00936-3507. Our fax (787) 759-3108.

 

We welcome your questions and comments.


José J. Santiago

787-759-3129

jsantiag@fgrlaw.com

 

Carlos A. Padilla

787-759-3149

cpadilla@fgrlaw.com

 

Antonio L. García

787-759-3221

agarcia@fgrlaw.com

 

Edgardo Barreto

787-759-3170

ebarreto@fgrlaw.com

 

 

 

 

PROPOSED RULEMAKING TO UPDATE THE REGULATIONS DEFINING AND DELIMITING THE EXEMPTIONS FOR “WHITE COLLAR” EMPLOYEES

 

On June 30, 2015, the U.S. Department of Labor (DOL) unveiled a proposed rule to raise the minimum salary threshold required to qualify as an exempt employee (executive, administrative, professional or computer employees) under the Fair Labor Standards Act's to $50,440 per year.

 

Key Provisions of the Proposed Rule

 

The Notice of Proposed Rulemaking focuses primarily on updating the salary and compensation levels needed to qualify as an exempt employee under the FLSA. Specifically, the DOL proposes to:

 

  1. Raise the standard salary level from $23,660 to $50,440 annually.
  2. Increase the total annual compensation requirement needed to exempt highly compensated employees from $100,000 to $122,148 annually.
  3. Establish a mechanism for automatically updating the salary and compensation levels going forward to ensure that they will continue to provide a useful and effective test for exemption.

 

In addition, the DOL discusses the current duties test and solicits suggestions and comments on the current requirements. The DOL also seeks comments on the possibility of including nondiscretionary bonuses to satisfy a portion of the standard salary requirement. The DOL is not proposing changes on either of these issues.

 

You may submit comments opposing the proposed increase at http://www.regulations.gov or by mail to Mary Ziegler, Director of the Division of Regulations, Legislation, and Interpretation, Wage and Hour Division, U.S. Department of Labor, Room S-3502, 200 Constitution Avenue, N.W., Washington, D.C. 20210.

 

As always, we will keep you posted of all developments related to this proposed rulemaking.

 

 

 

©2016 Fiddler, González & Rodríguez, P.S.C. This Watch has been prepared by Fiddler, González & Rodríguez, P.S.C. for informational purposes only and does not constitute legal advice. This information does not create, and receipt of it does not constitute, a lawyer-client relationship. Readers should not act upon this without seeking advice from professional advisers. Fiddler, González & Rodríguez, P.S.C. and its members assume no responsibility to inform you of additional changes in law or any other legal issues related to the matters discussed in this e-mail.

 

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