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U.S. Department of Labor Requests Public Input on Overtime Regulations

07/25/17

The U.S. Department of Labor announced today that they will publish a Request for Information for the overtime rule on Wednesday, July 26.

In the news release, USDOL announced:

“The RFI is an opportunity for the public to provide information that will aid the department in formulating a proposal to revise these regulations which define and delimit exemptions from the Fair Labor Standards Act’s minimum wage and overtime requirements for certain employees.

“The RFI solicits feedback on questions related to the salary level test, the duties test, varying cost-of-living across different parts of the U.S., inclusion of non-discretionary bonuses and incentive payments to satisfy a portion of the salary level, the salary test for highly compensated employees, and automatic updating of the salary level tests.”

In the RFI, the USDOL said that gathering public input will greatly aid in the development of a Notice of Proposed Rulemaking and help the department to move forward with rulemaking in a timely manner.

“The nature of the questions makes it clear that the current Administration and Secretary of Labor want additional input on these questions, and want to give due consideration to the impact these regulations will have on all employers,” said Byrona Maule, Director and Co-Chair of Phillips Murrah’s Labor & Employment Practice Group. “Replies to these questions are one of the key ways that the Administration can gauge how the regulation will impact companies.”

The public will have a 60-day public comment period from the date the RFI is published in the Federal Register.

  • For a sneak peak at the questions, which will be published in the Federal Register tomorrow, click here.
  • To view instructions on submitting public comments contained in the RFI document, which you can view here.
  • Comments may also be submitted electronically at http://www.regulations.gov.

 

USDOL Reinstates Wage & Hour Opinion Letters

The U.S. Department of Labor announced today that they will reinstate the issuance of opinion letters, which had been replaced in 2010 by issuance of USDOL general guidance. This action allows the USDOL’s Wage and Hour Division to use opinion letters as one of its methods for providing guidance to covered employers and employees.

Opinion letters are official opinions written by the Wage and Hour Division (WHD) of how to apply rules related to the Fair Labor Standards Act and other statutes in specific circumstances presented by an employer, employee or other entity seeking clarity. Opinion letters had been the general practice for seeking clarity since the Fair Labor Standards Act’s inception in 1938.

“By using the opinion letters, laws can be interpreted differently without the need of going through the administrative process,” explains Byrona J. Maule, Phillips Murrah Director and Co-Chair of the Firm’s Labor and Employment Practice Group.

This comes on the heels of the action taken by USDOL earlier this month, which withdrew two Obama-era guidance letters that sought to clarify worker classifications regarding independent contractors and joint employment.

U.S. Secretary of Labor Alexander Acosta in today’s release:

“Reinstating opinion letters will benefit employees and employers as they provide a means by which both can develop a clearer understanding of the Fair Labor Standards Act and other statutes. The U.S. Department of Labor is committed to helping employers and employees clearly understand their labor responsibilities so employers can concentrate on doing what they do best: growing their businesses and creating jobs.”

USDOL also announced a website portal whereby those seeking clarity can search for existing guidance or submit a request for an opinion letter. Today’s release explained: “The webpage explains what to include in the request, where to submit the request, and where to review existing guidance. The division will exercise discretion in determining which requests for opinion letters will be responded to, and the appropriate form of guidance to be issued.”

Employers should be vigilant in reviewing the opinion letters issued by the USDOL for trends and reversals of prior legal positions.

Visit this link to view currently published opinion letters: Wage and Hour Division (WHD) Opinion Letters – Fair Labor Standards Act

 


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