Select Page

Update: Proposed Changes to FLSA Overtime Rule Dismissed

Non-profit organization

Are Non-Profits Affected by the New Overtime Rule?

The new FLSA overtime rule

If you are a non-profit organization, then you may be aware of the new overtime rule and curious if the new rule applies to your organization. The U.S. Department of Labor (DOL) published monumental changes to the overtime rule that will make approximately 4.2 million currently exempt employees eligible for overtime pay later this year.

The DOL released a fact sheet that helps clarify how and when non-profits or their employees are covered by the Fair Labor Standards Act (FLSA). All employers will have to comply with the changes made to the overtime regulations of the FLSA by December 1, 2016.

What does this mean for non-profits?

Employers have various options to comply with these change in overtime rules, ranging from increasing exempt employees’ salaries to the new level, converting them to an hourly employee and then paying employees overtime, or making other changes to benefits or general business operations.

With changing guidelines, let APS help your non-profit reduce complexity and cost while increasing efficiency and productivity. Non-profit organizations typically turn to APS when faced with issues surrounding fund accounting needs, special taxation issues, and inefficient reporting functionality. Learn fore about APS’s payroll and HR for nonprofits here.

Michael Eastman, an attorney with NT Lakis in Washington, D.C. and counsel to the Society for Human Resource Management (SHRM), has written a brief overview about non-Profit overtime. Click here to read the entire article.

How APS can help

APS’s Time & Attendance solution simplifies time and labor management to ensure your non-profit organization is accurately tracking employee hours and maintaining compliance. APS’s unified system can help you:

  • Manage employees’ schedules and accurately track time for controlled labor costs
  • Automatically track employees based on their classification
  • Ensure accurate payroll processing
  • Easily run reports for salary exempt versus salary non-exempt employees per pay period
  • Store important company and employee documents securely in our cloud-based solution

Resources

United States Department of Labor: Overtime Final Rule and the Non-Profit Sector
Society for Human Resource Management: DOL Seeks to Clarify Overtime Rule’s Application to Nonprofits

Note: This article is not intended to communicate legal advice. A qualified attorney should be consulted for legal opinions.

Pin It on Pinterest

Share This