On May 18, the White House announced that the U.S. Department of Labor (DOL) is finalizing a rule to update overtime pay thresholds and exemption classifications as part of a process that President Barack Obama began as a comprehensive review of the Fair Labor Standards Act (FLSA) in 2014.
The effective date of the new FLSA rule is Dec. 1, 2016. Mississippi State University has been reviewing these proposed changes for several months and will intensify that review now that the final rule change specifics have been made public, according to MSU’s Chief Human Resources Officer Judith A. “Judy” Spencer.
MSU’s Office of Human Resources Management and the MSU General Counsel’s Office will lead that review and then report the potential impact on the university and university personnel well in advance of the effective date of the rule change. MSU personnel will be provided with additional information when the review process is complete.
MSU Chief Communications Officer Sid Salter said the university would not have additional comment on the FLSA rule changes until the university review process has been completed and evaluated by the MSU administration.
The primary objective of the FLSA is to protect workers’ rights. The FLSA is enforced by the Labor Department’s Wage and Hour Division. The FLSA regulates and establishes the following: minimum wage; overtime pay; recordkeeping; and child labor standards.
Other provisions of the FLSA define the following: exemption categories; hours of work; and violations and penalties. The FLSA does not regulate: vacation, holiday, severance, or sick pay; meal or rest periods; pay raises or fringe benefits; and discharge, termination, or final payment procedures.