A new federal overtime rule from the Department of Labor was set to take effect on December 1, 2016.  The rule doubles the current federal salary that must be made by an employee before the employee can be classified as exempt from overtime—known as the executive, administrative and professional exemptions.  The new rule requires a minimum salary of $913 per week—even higher than California’s minimum salary threshold for overtime exemption.

Late last week, a federal judge issued a nationwide injunction against implementation of the federal rule.  This means that the federal rule is not in effect until the court decides whether the federal rule is appropriate. Until more is known, employers in Humboldt County should continue to use the California test to determine if employees are exempt from overtime under the executive, administrative, or professional exemptions—double the current minimum wage and specific duties and responsibilities.
The added level of confusion surrounding exemption means that any Humboldt County employer with questions about whether employees are exempt from overtime should seek legal advice from an attorney well-versed in California employment laws.