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Julie Su Acting United States Secretary of Labor | Official Website

Department of Labor expands overtime protections effective July 1

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On July 1, 2024, the Department of Labor's final rule titled “Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales, and Computer Employees” came into effect. This regulation extends overtime protections to millions of salaried workers across the United States.

Acting Secretary of Labor Julie Su released a statement highlighting the significance of this change: “For more than 80 years, the 40-hour workweek has been a pillar of fairness for American workers. It’s the promise of going home to loved ones after putting in your time, not endless hours for flat pay. Far too many are stuck in jobs that disregard this principle. Today, our rule to restore that balance by expanding overtime protections for our nation’s lower-paid salaried workers goes into effect.”

The new rule ensures that lower-paid salaried workers who should be receiving overtime protections under existing law will indeed receive them. According to Su, “Starting today, roughly 1 million workers making $43,888 or less are newly eligible for overtime benefits. And in 2025, the salary threshold will increase to $58,656, then update every three years. That means more money in these workers’ pockets and a little more breathing room.”

Su also emphasized the broader impact of this regulation under the current administration: “The Biden-Harris administration is giving millions a chance to reclaim their time and share in the economic prosperity that they help create, and we will continue to do good by the people that make this country great.”

A table estimating the number of workers potentially eligible for expanded protections in year one by census region was included with the release:

- Northeast: 740,000

- Midwest: 930,000

- South: 1,870,000

- West: 790,000

Learn more about the department’s efforts to restore and extend overtime protections.

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