{"id":36040,"date":"2024-05-31T15:21:48","date_gmt":"2024-05-31T20:21:48","guid":{"rendered":"https:\/\/www.wisconsin.edu\/ohrwd\/?page_id=36040"},"modified":"2025-01-06T11:27:40","modified_gmt":"2025-01-06T17:27:40","slug":"flsa","status":"publish","type":"page","link":"https:\/\/www.wisconsin.edu\/ohrwd\/home\/flsa\/","title":{"rendered":"Fair Labor Standards Act (FLSA)"},"content":{"rendered":"\n\t\t\t\t\t<div id=\"cfct-build-36040\" class=\"cfct-build grid\">\n\t\t\t\t\t\t<div class=\"row\"><div class=\"col-md-3 cfct-block\">\n\t\t\t<div class=\"cfct-module cfct-supplemental\">\n\t\t\t\t    <div class=\"cfct-mod-content\">\n    <nav class=\"widget widget_meta\" >\n\n        <div class=\"menu-cfct-module-4d16fdcd84486099a3960ca78b4dedd8-container\"><ul id = \"menu-uwshr-left-hand-nav\" class = \"menu nav\"><li id=\"menu-item-13770\" class=\"menu-item menu-item-type-post_type menu-item-object-page menu-item-13770\"><a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/careers\/\">Careers at UW<\/a><\/li>\n<li id=\"menu-item-13771\" class=\"menu-item menu-item-type-custom menu-item-object-custom menu-item-has-children menu-item-13771\"><a href=\"http:\/\/www.wisconsin.edu\/ohrwd\/total-rewards\/\">Total Rewards<\/a>\n<ul class=\"sub-menu\">\n\t<li id=\"menu-item-14494\" class=\"menu-item menu-item-type-custom menu-item-object-custom menu-item-14494\"><a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/benefits\/\">Benefits<\/a><\/li>\n\t<li id=\"menu-item-14493\" class=\"menu-item menu-item-type-custom menu-item-object-custom menu-item-14493\"><a href=\"http:\/\/www.wisconsin.edu\/ohrwd\/well-being\/\">Employee Well-Being<\/a><\/li>\n\t<li id=\"menu-item-14495\" class=\"menu-item menu-item-type-post_type menu-item-object-page menu-item-14495\"><a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/title-and-total-compensation-study\/\">Title and Total Compensation<\/a><\/li>\n\t<li id=\"menu-item-17531\" class=\"menu-item menu-item-type-custom menu-item-object-custom menu-item-17531\"><a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/total-rewards\/events\">Events<\/a><\/li>\n<\/ul>\n<\/li>\n<li id=\"menu-item-13772\" class=\"menu-item menu-item-type-custom menu-item-object-custom menu-item-13772\"><a href=\"http:\/\/www.wisconsin.edu\/ohrwd\/admin\">HR Team Resources<\/a><\/li>\n<li id=\"menu-item-13773\" class=\"menu-item menu-item-type-custom menu-item-object-custom menu-item-13773\"><a href=\"http:\/\/myworkday.wisconsin.edu\">Workday<\/a><\/li>\n<li id=\"menu-item-13775\" class=\"menu-item menu-item-type-custom menu-item-object-custom menu-item-13775\"><a href=\"http:\/\/www.wisconsin.edu\/ohrwd\/policies\">Policies<\/a><\/li>\n<\/ul><\/div>    <\/nav>\n<\/div>\n\n\t\t\t<\/div><\/div><div class=\"col-md-6 cfct-block\">\n\t\t\t<div class=\"cfct-module uwsa-callout\">\n\t\t\t\t<div class=\"cfct-mod-content callout standard grey-bg\">\n    <p><strong>Notice: <\/strong>On November 15, 2024, a federal judge in the Eastern District Court of Texas struck down the Biden administration\u2019s Fair Labor Standards Act (FLSA) overtime final rule. The ruling voids all components of this rule, including the July 2024 and January 2025 salary thresholds, and halts the automatic updates.\u00a0 Due to this, we paused indefinitely, the change to a higher threshold that was planned for January 1, 2025. However, with the litigation still pending, we will not be rolling back the salary exemption threshold back to the pre-July 2024 level of $684 per week ($35,568 annual).\u00a0 Please continue using $844 per week ($43,888 annual), to determine an employee\u2019s exemption status until further notice.<\/p>\n<\/div>\n\n\t\t\t<\/div>\n\t\t\t<div class=\"cfct-module uwsa-rich-text\">\n\t\t\t\t<div class=\"cfct-mod-content copy\"><div class=\"uw-page-element uw-pe uw-pe-text_block\" data-page-element=\"text_block\">\n<p>The\u00a0<strong>Fair Labor Standards Act (FLSA)<\/strong>\u00a0is a federal law through the\u00a0<a href=\"https:\/\/www.dol.gov\/agencies\/whd\/flsa\">Department of Labor (DOL)<\/a>\u00a0that establishes labor standards for public and private sector employers. The law defines a standard work week, establishes a national minimum wage and establishes parameters for working minors. In addition, the law guarantees overtime for certain positions.<\/p>\n<p>The FLSA provides a set of standards to determine which jobs are covered by the act (\u201cnon-exempt\u201d) and which jobs are not covered (\u201cexempt\u201d):<\/p>\n<ul>\n<li>Non-exempt positions are considered hourly positions and must receive overtime pay or compensatory time for hours worked over 40 in a workweek.<\/li>\n<li>Exempt positions are considered salaried positions and do not normally receive additional compensation for overtime work.<\/li>\n<\/ul>\n<p>To qualify as exempt, an employee must satisfy the following three tests:<\/p>\n<ul>\n<li>Have a salary above the minimum salary threshold;<\/li>\n<li>Be paid on a \u201csalary basis;\u201d and<\/li>\n<li>Perform duties that qualify for an exemption.<\/li>\n<\/ul>\n<\/div>\n<div class=\"uw-page-element uw-pe uw-pe-text_block\" data-page-element=\"text_block\">\n<h2>Exemption Status Changes<\/h2>\n<p>Employees may change exemption status for various reasons. Information below is for employees who have been informed by their\u00a0<a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/hr\/contact\/\">local Human Resources (HR) unit<\/a>\u00a0that their FLSA status may change. \u00a0If you have questions about your specific situation you will need to contact your local HR unit.<\/p>\n<\/div>\n<\/div>\n\t\t\t<\/div>\n\t\t\t<div class=\"cfct-module uwsa-tabs-accordions\">\n\t\t\t\t    <div class=\"bs-accordion  bs-accordion-min\">\n            <div class=\"accordion-all-buttons\">\n          <a href=\"#\" class=\"accordions-showall btn btn-primary btn-xs\" role=\"button\" data-panel=\"ri6ua\"><span class=\"uw-resize-full\">Open All<\/span><\/a>\n        <\/div>\n        <div id=\"ri6ua\" class=\"panel-group\">\n        \n            <div class=\"panel panel-default \" id=\"panel_exempt-to-non-exempt\">\n    <div class=\"panel-heading\" id=\"heading_exempt-to-non-exempt\">\n        <h4 class=\"panel-title\"><button href=\"#exempt-to-non-exempt\" data-toggle=\"collapse\" class=\"collapsed panel-link\" aria-expanded=\"false\" aria-controls=\"exempt-to-non-exempt\">Exempt to Non-Exempt<\/button><\/h4>    <\/div>\n    <div id=\"exempt-to-non-exempt\" class=\"panel-collapse collapse\"  role=\"tabpanel\" aria-labelledby=\"heading_exempt-to-non-exempt\" role=\"region\">\n        <div class=\"panel-body copy\">            \n            \n        <header class=\"entry-header\"><h1 class=\"page-title uw-mini-bar\">Exempt to Non-Exempt<\/h1><\/header><div class=\"entry-content\"><div class=\"uw-outer-row row-1 has_text_block default-background\"><div class=\"uw-inner-row\"><div class=\"uw-column wide-column\"><div class=\"uw-page-element uw-pe uw-pe-text_block\" data-page-element=\"text_block\"><h2>Overview: Understanding Exempt to Non-Exempt Status Changes<\/h2><h3>What Changes<\/h3><p>If your job title changes to non-exempt, your exemption status will change from exempt<strong>\u00a0<\/strong>to\u00a0<strong>non-exempt.<\/strong>\u00a0If you are non-exempt, you will:<\/p><ul><li>receive hourly pay<\/li><li>record the hours you work (including start and end times)<\/li><li>record your leave time<\/li><li>need to get permission before working hours outside of your approved schedule<\/li><li>receive\u00a0<strong>overtime pay or compensatory (comp) time off\u00a0<\/strong>(if eligible)<\/li><li>earn a\u00a0<strong>premium pay rate (time and a half)<\/strong>\u00a0for every hour you work over 40 hours in a\u00a0<em>work<\/em>\u00a0week (Sunday through Saturday), or<\/li><li>earn 1.5 hours of\u00a0<strong>compensatory time credits\u00a0<\/strong>for every hour you work over 40 hours in a\u00a0<em>work\u00a0<\/em>week<\/li><li><strong>Hours worked\u00a0<\/strong>do not include paid time out of the workplace (for example sick leave, vacation time, etc.)<\/li><li>You must get pre-approval for overtime or compensatory time<\/li><\/ul><h3>What Stays the Same<\/h3><p>Changing to a non-exempt status does\u00a0<strong>not<\/strong>\u00a0change your:<\/p><ul><li>job responsibilities<\/li><li>current base pay rate<\/li><li>benefits<\/li><li>employment category<\/li><li>operational area<\/li><\/ul><\/div><div class=\"uw-page-element uw-pe uw-pe-text_block\" data-page-element=\"text_block\"><h2>Impacts to Benefits, Leave and Other Changes<\/h2><ul><li><a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/download\/FLSA-Side-by-Side---University-Staff--Exempt-to-Nonexempt.pdf\"><strong>University Staff moving from Exempt to Non-Exempt<\/strong><\/a><\/li><li><a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/download\/FLSA-Side-by-Side---Academic-&amp;-Limited-Staff--Exempt-to-Nonexempt.pdf\"><strong>Academic Staff moving from Exempt to Non-Exempt<\/strong><\/a><\/li><\/ul><\/div><div class=\"uw-page-element uw-pe uw-pe-text_block\" data-page-element=\"text_block\"><h2>Why Exemption Status May Change<\/h2><p>Employees may change exemption status for various reasons. Below are some examples of why your status may change.\u00a0<strong>Employees may change exemption status as a result of a salary change or due to a title change as a result of the TTC Project.<\/strong><\/p><p>If you do not know why your status is changing please\u00a0<a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/hr\/contact\/\">contact your local HR<\/a>.<\/p><h3>Change Due to Salary<\/h3><p>The minimum salary threshold we are currently using is $844 per week, $43,888 per year for a full year worker.<\/p><p>If an employee\u2019s salary is less than $844 per week or $43,888 per year for a full year, in most instances they will be classified as non-exempt according to the U.S. Department of Labor.\u00a0<\/p><h3>Change Due to Job Title<\/h3><p>As a result of the\u00a0<a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/title-and-total-compensation-study\/?msclkid=b6fbebdcbb3811ec8a38190a05506bbe\">Title and Total Compensation (TTC) Project<\/a>, you and your supervisor or local Human Resources contact\u00a0are talking\u00a0about a possible change to your:<\/p><ul><li>job title<\/li><li>position description<\/li><li><strong>exemption status<\/strong>\u00a0under the Fair Labor Standards Act (FLSA)<\/li><\/ul><p>The university reviewed the exemption status for all proposed new job titles as part of the TTC Project. According to\u00a0<a href=\"https:\/\/www.dol.gov\/agencies\/whd\/flsa\">U.S. Department of Labor and FLSA guidelines<\/a>, your proposed new job title is a non-exempt title.\u00a0<\/p><\/div><\/div><\/div><\/div><\/div>                <\/div>\n    <\/div>\n<\/div>\n            <div class=\"panel panel-default \" id=\"panel_non-exempt-to-exempt\">\n    <div class=\"panel-heading\" id=\"heading_non-exempt-to-exempt\">\n        <h4 class=\"panel-title\"><button href=\"#non-exempt-to-exempt\" data-toggle=\"collapse\" class=\"collapsed panel-link\" aria-expanded=\"false\" aria-controls=\"non-exempt-to-exempt\">Non-Exempt to Exempt<\/button><\/h4>    <\/div>\n    <div id=\"non-exempt-to-exempt\" class=\"panel-collapse collapse\"  role=\"tabpanel\" aria-labelledby=\"heading_non-exempt-to-exempt\" role=\"region\">\n        <div class=\"panel-body copy\">            \n            \n        <header class=\"entry-header\"><h1 class=\"page-title uw-mini-bar\">Non-Exempt to Exempt<\/h1><\/header><div class=\"entry-content\"><div class=\"uw-outer-row row-1 has_text_block default-background\"><div class=\"uw-inner-row\"><div class=\"uw-column wide-column\"><div class=\"uw-page-element uw-pe uw-pe-text_block\" data-page-element=\"text_block\"><h2>Overview: Understanding Non-Exempt to Exempt Status Changes<\/h2><h3>What Changes<\/h3><p>If your exemption status changes to\u00a0<strong>exempt<\/strong>\u00a0you:<\/p><ul><li>do\u00a0<strong>not<\/strong>\u00a0usually receive overtime pay for working more than 40 hours in a work week<\/li><li>are paid a\u00a0<strong>salary<\/strong><\/li><\/ul><p>With a salary, you receive the same pay every week. Your pay does\u00a0<strong>not<\/strong>\u00a0change based on the number of hours you work.<\/p><h3>What Stays the Same<\/h3><p>Changing to exempt status does\u00a0<strong>not<\/strong>\u00a0change your:<\/p><ul><li>job responsibilities<\/li><li>current base pay rate<\/li><li>benefits\u00a0(see note on change in vacation accrual)<\/li><li>employment category<\/li><li>operational area<\/li><\/ul><\/div><div class=\"uw-page-element uw-pe uw-pe-text_block\" data-page-element=\"text_block\"><h2>Impacts to Benefits, Leave and Other Changes<\/h2><ul><li>If you are an exempt University Staff employee, you may have the option to become Academic Staff due to Employee Choice. Please\u00a0<a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/hr\/contact\/\">contact HR<\/a>\u00a0for more information.<\/li><\/ul><\/div><div class=\"uw-page-element uw-pe uw-pe-text_block\" data-page-element=\"text_block\"><h2>Why Exemption Status May Change<\/h2><p>Employees may change exemption status for various reasons. Below are some examples of why your status may change.\u00a0<strong>Employees will change exemption status as a result of a salary change or due to a title change as a result of the TTC Project.<\/strong><\/p><p>If you do not know why your status is changing please\u00a0<a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/hr\/contact\/\">contact your local HR<\/a>.<\/p><h3>Change Due to Job Title<\/h3><p>As a result of the\u00a0<a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/title-and-total-compensation-study\/?msclkid=b6fbebdcbb3811ec8a38190a05506bbe\">Title and Total Compensation (TTC) Project<\/a>, you and your supervisor or local Human Resources contact\u00a0are talking\u00a0about a possible change to your:<\/p><ul><li>job title<\/li><li>position description<\/li><li><strong>exemption status <\/strong>under the Fair Labor Standards Act (FLSA)<\/li><\/ul><p>The university reviewed the exemption status for all proposed new job titles. According to\u00a0<a href=\"https:\/\/www.dol.gov\/agencies\/whd\/flsa\">U.S. Department of Labor and FLSA guidelines<\/a>,\u00a0your proposed new job title is an exempt title.<\/p><h3>Change Due to Salary<\/h3><p>The minimum salary threshold we are currently using is $844 per week, $43,888 per year for a full year worker.<\/p><p>If an employee\u2019s salary is less than $844 per week or $43,888 per year for a full year, in most instances they will be classified as non-exempt according to the U.S. Department of Labor.<\/p><\/div><\/div><\/div><\/div><\/div>                <\/div>\n    <\/div>\n<\/div>\n            \n    <\/div>\n<\/div>\n\n\n\n\t\t\t<\/div><\/div><div class=\"col-md-3 cfct-block\">\n\t\t\t<div class=\"cfct-module uwsa-callout\">\n\t\t\t\t<div class=\"cfct-mod-content callout standard grey-bg\">\n    <h3 class=\"cfct-mod-title\">Definitions<\/h3><p><strong>Exempt status:<\/strong>\u00a0Exempt positions are considered salaried positions that do not normally receive additional compensation for overtime work. Employers pay you a salary instead of an hourly wage.<\/p>\n<p><strong>Non-exempt status:<\/strong>\u00a0Fair Labor Standards Act (FLSA) regulations protect your position. By state and federal law, you must receive overtime pay if you work more than 40 hours in a work week. Employers pay you on an hourly basis.<\/p>\n<\/div>\n\n\t\t\t<\/div>\n\t\t\t<div class=\"cfct-module uwsa-callout\">\n\t\t\t\t<div class=\"cfct-mod-content callout standard grey-bg\">\n    <h3 class=\"cfct-mod-title\">Resources<\/h3><ul>\n<li><a href=\"https:\/\/www.wisconsin.edu\/ohrwd\/home\/flsa-faq\/\">Frequently Asked Questions about the FLSA | Human Resources (wisconsin.edu)<\/a><\/li>\n<li><a lang=\"\" href=\"https:\/\/www.dol.gov\/agencies\/whd\/flsa\">Department of Labor\u00a0<span class=\"uw-nowrap\">Overview\u00a0<\/span><\/a><\/li>\n<\/ul>\n<\/div>\n\n\t\t\t<\/div><\/div><\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t\t","protected":false},"excerpt":{"rendered":"","protected":false},"author":4741,"featured_media":0,"parent":235,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"class_list":["post-36040","page","type-page","status-publish","hentry","cfct-can-haz-build"],"_links":{"self":[{"href":"https:\/\/www.wisconsin.edu\/ohrwd\/wp-json\/wp\/v2\/pages\/36040","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.wisconsin.edu\/ohrwd\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.wisconsin.edu\/ohrwd\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.wisconsin.edu\/ohrwd\/wp-json\/wp\/v2\/users\/4741"}],"replies":[{"embeddable":true,"href":"https:\/\/www.wisconsin.edu\/ohrwd\/wp-json\/wp\/v2\/comments?post=36040"}],"version-history":[{"count":7,"href":"https:\/\/www.wisconsin.edu\/ohrwd\/wp-json\/wp\/v2\/pages\/36040\/revisions"}],"predecessor-version":[{"id":36055,"href":"https:\/\/www.wisconsin.edu\/ohrwd\/wp-json\/wp\/v2\/pages\/36040\/revisions\/36055"}],"up":[{"embeddable":true,"href":"https:\/\/www.wisconsin.edu\/ohrwd\/wp-json\/wp\/v2\/pages\/235"}],"wp:attachment":[{"href":"https:\/\/www.wisconsin.edu\/ohrwd\/wp-json\/wp\/v2\/media?parent=36040"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}