last updated 11/24/16
Affected employees, starting Dec 1, 2016*, will now be:
- Eligible for overtime for any hours worked over 40 in a workweek.
- Paid by the hour for each hour they work.
- Paid on a biweekly basis instead of monthly.
The federal Fair Labor Standards Act (FLSA) regulates whether an employee is overtime-eligible or overtime-exempt. Currently, employees who are classified as overtime-exempt must earn at least $455 per week. Beginning December 1, 2016, to be exempt, the FLSA requires that an employee satisfy the duties test and earn at least $913 per week, or $47,476 per year. UC Berkeley has several hundred affected positions who have been reclassified as non-exempt and overtime-eligible.
* UC implemented this change effective on the Nov 20, 2016 biweekly pay period.
On November 22, 2016, a federal district judge issued a nationwide preliminary injunction blocking implementation of the U.S. Department of Labor’s (DOL) rule that nearly doubles the minimum salary level required for the executive, administrative and professional overtime exemptions under the Fair Labor Standards Act. This means that employers are no longer required to meet the December 1, 2016 implementation deadline.
What does this mean for UC?
At this point, UC campuses will continue to proceed with implementation plans already in place. In the coming months, the UC Office of the President will be following further developments on the status of the DOL’s overtime rule, potentially revisiting some of the classification decisions made in the last few months, and engaging in consultation and communication with campus locations.
Transition Assistance is available for affected employees, and we have an FAQ section for assistance also.