The Department of Labor’s (DOL) salary threshold for overtime eligibility is the minimum salary level that employees must be paid to be exempt from overtime pay requirements. The threshold is set by the DOL’s Fair Labor Standards Act (FLSA). As of 2023, the salary threshold is $684 per week, or $35,568 per year. The DOL has proposed raising the salary threshold to $1,026 per week, or $53,490 per year, by 2025.
Raising the salary threshold would have several benefits. First, it would ensure that more workers are eligible for overtime pay. This would help to increase their wages and improve their standard of living. Second, it would reduce the number of lawsuits filed by workers who are misclassified as exempt from overtime pay. Third, it would level the playing field for businesses by ensuring that all employers are subject to the same overtime pay requirements.
