On Feb. 22, 2023, the U.S. Supreme Court held in Helix Energy Solutions Group Inc. v. Hewitt (Helix) that employees must be compensated on a salary basis to qualify for the highly compensated employee overtime exemption under the Fair Labor Standards Act (FLSA). FLSA Overtime Exemptions To qualify for an overtime exemption under the FLSA,…
The current federal minimum wage rate is $7.25 per hour. However, several states have adopted minimum wage rates higher than the federal rate. When both the state rate and the federal rate apply, employers must pay their employees the higher rate. The following states have announced new minimum wage rates for 2023: Alaska Arizona California…
Despite employers’ best efforts, complying with Employment Eligibility Verification form (Form I-9) requirements can be difficult, and organizations spend a great deal of time and resources trying to comply with Form I-9 requirements. Even small errors can subject employers to expensive violations that can result in fines and penalties. In recent years, the federal government…
On October 11th, 2022, the U.S. Department of Homeland Security (DHS) announced it is extending updated flexibilities for Form I-9 due to the continued safety precautions related to COVID-19 until July 31st, 2023. Background Federal law requires every employer that recruits, refers for a fee, or hires an individual for employment in the United States…
The DOL final overtime rule became effective Jan. 1, 2020. Among other things, the final rule also allows employers to use nondiscretionary bonuses and incentive payments (including commissions) to satisfy up to 10% of the salary level if these payments are made at least on an annual basis. To enable compliance with the nondiscretionary bonus…
President Trump issued an executive order on August 8, 2020 allowing employers to defer employee’s social security taxes for certain employees for the period beginning September 1, 2020 through December 31, 2020. The Department of Treasury and the Internal Revenue Service issued Notice 2020-65 providing additional guidance on August 28, 2020. The executive order defers…
On Aug. 31, 2020, the DOL announced that the minimum wage rate for federal contractor employees will increase to $10.95 per hour on Jan. 1, 2021. This Legal Update video explains further while full text appears below. On Aug. 31, 2020, the U.S. Department of Labor (DOL) announced that the minimum wage rate for…
SIMA will be closed on Monday, September 7, in observance of the Labor Day Holiday. Your payroll must be processed by 12:00 pm a day earlier than normal to ensure timely processing. Is your pay date on Monday, September 7? There will be no direct deposits allowed on Monday, September 7, due to the Labor Day…
On Aug. 8, 2020, President Donald J. Trump ordered the U.S. Department of Treasury (the Department) to defer collecting certain payroll taxes from Sept. 1 to Dec. 31, 2020. Because the order is for a deferral, the unpaid taxes will need to be recouped at a later time, unless the Department can find an avenue…
The U.S. Department of Labor (DOL) has created an online tool to help workers determine whether they qualify for paid sick leave or expanded family and medical leave under the Families First Coronavirus Response Act (FFCRA). The tool works by posing a series of questions that help employees assess whether the paid leave provisions of…
