December 2016 Update on Exempt Employee Salary Threshholds

New federal overtime rules to raise salary threshold for exempt employees nationwide starting in December 2016

dolOn Thursday, Dec. 1, 2016, new federal overtime regulations will take effect under the U.S. Department of Labor’s Fair Labor Standards Act (FLSA) that apply to all U.S. employers, including SMU.

The FLSA classifies U.S. employees as either “exempt” or “non-exempt” from its regulations. As part of the new FLSA regulations, the salary threshold will increase to $47,476 annually, or $913 a week, for U.S. employees whose positions are classified as exempt from overtime.

In accordance with the FLSA, SMU will increase the salaries of exempt staff members who currently earn less than the new salary threshold to $47,476 annually, effective Dec. 1. The Department of Labor will update this salary threshold every three years, beginning in 2020.

Under the new regulations, SMU staff members whose positions currently are classified as exempt will maintain that classification, and they will continue to be paid a salary on a monthly basis.

SMU’s Department of Human Resources will contact staff members who are receiving a salary increase and their supervisors by email before Nov. 30 and will provide more information.

The new regulations do not affect SMU faculty members or non-exempt staff members. Non-exempt staff members are paid for hours worked at an established hourly rate on a biweekly basis and are paid overtime for hours worked in excess of 40 per workweek.

If you have questions about FLSA at SMU, please contact SMU’s Department of Human Resources.

University to Provide Update on Staff Compensation Study in January 2017

In March 2016 SMU launched a staff compensation study to ensure that the University’s job titles are aligned with the work that is performed by staff members. The study is being conducted by SMU’s Department of Human Resources and consultants from the firm AON Hewitt. The project is in the final stages, and an update will be provided in SMU Forum in January.

The study has included a review of job descriptions, organizational charts and other descriptive information in order to create a titling and leveling framework for staff positions across campus.

New federal overtime regulations and salary changes taking effect Thursday, Dec. 1, 2016 under the U.S. Department of Labor’s Fair Labor Standards Act (FLSA) are not related to or impacted by the SMU study.

Please contact the Department of Human Resources if you have questions.

Sharing Authentic Appreciation at Work

As a manager, do you make encouraging others part of your workday?

Do you understand the value of authentic appreciation in creating a supportive work environment?

Do you know when and how to share appreciation?

Read this recent article by Tim Brown in “A” Magazine titled “applauding employees good work – you can do it”  to learn some tips and best practices.

5LanguagesAnd if you answered “no” to above questions, a new language might help!

HR can support you.  Contact us about bringing the 5 Languages of Appreciation in the Workplace training to your team!

Email or call Mary Stall at 8-2194 for more information.