Washington State’s Department of Labor and Industries is currently engaged in rulemaking to update our state’s overtime pay exemption threshold. The likely effect of this process is that more workers will be eligible for overtime pay, which will undoubtedly impact your nonprofit organization. Because of this, we strongly encourage your organization to join Washington Nonprofits in responding to the Department’s scoping questions before the July 10th deadline. Click here to view Washington Nonprofits’ comments. The full set of questions is available here and posted below. Importantly, questions #3 and #8 warrant special attention because they ask what the new overtime pay exemption threshold should be and when it should take effect:
#3. If the department were to propose an updated salary level for executive, administrative, and professional employees, what specific salary level or approach should be used?
#8. If the department were to propose an effective date for the updated rule, what should that effective date be?
For reference, the current federal overtime pay exemption threshold from the U.S. Department of Labor is $455 per week/$23,000 per year. In 2016, the Obama Administration proposed raising the exemption threshold to $913 per week/$47,476 per year.
We know that many of your organizations planned to adjust your staffing and business models to comply with the Obama Administration’s proposed expansion of overtime pay in 2016. We recommend that your organization revisit any analysis, planning, or forecasting that you conducted in 2016 to inform your comments to the state on this issue.
Responses to the scoping questions can be submitted here before July 10th.
Responding to the Department’s questions is your chance to shape the threshold and make sure nonprofit voices are heard during this process. Washington Nonprofits is part of the stakeholder group participating in the feedback process and we submitted comments for the current comment round available here. Feel free to use our comments to inform your response. You can also view our Round 1 comments here and our Round 2 comments here.
Please feel free to review our comments and contact us if you have any questions or would like to discuss this issue.
EAP Scoping Questions
Submit your responses before July 10th here.
1. What are your thoughts on whether the department should propose to eliminate the short and long duties test and use a single duties test for EAP employees?
2. If the department were to propose rule language to further clarify the duties tests for EAP employees, what language should be included?
3. If the department were to propose an updated salary level for executive, administrative, and professional employees, what specific salary level or approach should be used?
4. If the department were to propose rule language to create an exemption for highly compensated employees, what should be the criteria for meeting that exemption?
5. If the department were to propose a fixed salary level, should this rulemaking also include an automatic updating mechanism?
6. If the department were to propose modifications to the exemption for computer professionals, what should be the criteria for meeting that exemption?
7. If the department were to propose modifications to the exemption for individuals employed in the capacity of an outside salesperson, what should be the criteria for meeting that exemption?
8. If the department were to propose an effective date for the updated rule, what should that effective date be?