If you’re an employer with a bunch of workers making just under $50,000 a year, prepare to work overtime to get your company ready for the new overtime rules.
Under this new ruling, which was announced May 18 and is set to go into effect Dec. 1, overtime pay will automatically be extended to more than 4 million Americans in its first year in effect, according to the U.S. Labor Department. All employees earning less than $47,476 per year and working more than 40 hours per week will be considered eligible for time-and-a-half overtime pay. This new standard is set at the 40th percentile of earnings and will be automatically reapplied every three years.
