Employers should be aware that the start of the New Year ushered in changes to federal, state and local government wage and hour laws. Some of those changes include the following:
- The minimum salary for executive, administrative and professional employees who are exempt from the overtime requirements of the federal Fair Labor Standards Act (FLSA) has increased from $455 to $684 per week ($35,568 per year).
- The annual compensation now required to meet the exemption under the FLSA for highly compensated employees has been raised to $107,432.
- Several states increased the state minimum wage for 2020, including the following:
- California
- Colorado
- Washington, DC (effective 7/1/20)
- Illinois
- Massachusetts
- Minnesota
- Missouri
In addition, various municipalities across the county have a required minimum wage that may have changed as of January 1st. Employers should take steps immediately to make sure that they have complied with any changes that impact their employees.