Employers covered by the Fair Labor Standards Act (FLSA) seeking to address the circumstances under which employees classified by the employer as nonexempt will receive overtime pay should consider including this model policy statement in their handbook.
The US Department of Labor (DOL) provides employers the Model Salary Basis Policy for Exempt White-Collar Workers as an example of a salary basis policy that will meet the requirements of the "safe harbor" provision of the Fair Labor Standards Act (FLSA). Under the "safe harbor" provision, employers that inadvertently make improper deductions from the pay of exempt employees can shield themselves from overtime liability if they adopt a salary basis policy and take other steps.
This section helps HR professionals manage challenges that come with operating in multiple states, notably complying with differing state and key municipal laws, and addresses the pros and cons of having a centralized or decentralized HR department. Trends currently affecting multistate employers, such as leave laws and laws affecting the hiring process, are identified and discussed.
HR guidance on complying with federal and state employee overtime laws. Support on following rules and regulations regarding this employment law topic.