Earlier this summer, the Department of Labor announced Fair Labor Standards Act (FLSA) rule changes regarding the minimum required salary for an exempt job status. This ruling has prompted a number of positions at The University of Texas Health Science Center at Houston (UTHealth) that were previously exempt to change to a non-exempt status. These required classified position changes will be effective Oct. 1, 2016.
Those employees impacted by the FLSA rule change will receive formal notification from their supervisor in the coming week. For those who work 40 hours per week, compensation should remain the same. Additionally, because non-exempt employees are eligible for overtime as defined by law, compensation may actually increase when worked hours exceed 40 full-time standard hours in a defined work week.
Please note that employees moving to a non-exempt status are required to track and record all hours worked, all overtime must be approved in advance by a manager or supervisor and classified merit eligibility will not be affected by this change of exemption status.
FLSA and the Department of Labor govern position classifications as exempt or non-exempt, and these laws apply to all jobs and positions. Jobs that are exempt from the FLSA must meet specific criteria such as a minimum salary amount, salary pay range, and specific job duties and requirements. Jobs that do not meet all the criteria are classified as non-exempt, and the law requires that non-exempt positions are paid time and a half of the hourly base rate for every hour worked over 40 in a defined work week. Postdoctoral research fellows also will be impacted by the new rule but with an effective date of Dec. 1, 2016. Details regarding postdoctoral research fellow changes will be communicated soon. Jobs that will not be affected by the rule change include faculty and adjunct instructors, physicians and students, including graduate teaching assistants, graduate research assistants and residential assistants.
For more information, contact the UTHealth Human Resources Compensation Team at 713-500-3133 or firstname.lastname@example.org.
You may also reference Hoop 154 Overtime Pay and Compensatory Time Off.