The Cultural Problems of Reclassifying Exempt Employees to Non-Exempt under FLSA In June 2015, the Department of Labor (DOL) proposed a key change to the provisions for determining exemption from overtime by raising the minimum standard level for salaried workers from $455 per week ($23,660 per year) to $970 per week ($50,440 annually). While the rule is not yet final and is not expected to be in place until 2016, organizations all over the US are preparing for the impact, both financially and culturally. Many times the latter is overlooked.

In June 2015, the Department of Labor (DOL) proposed a key change to the provisions for determining exemption from overtime by raising the standard minimum level for salaried workers from $455 per week ($23,660 per year) to $970 per week ($50,440 annually). This rule change also includes implementing a mechanism for automatically adjusting this minimum salary level for inflation.

Human capital is your most important asset. A lot of organizations talk about this in executive speeches, marketing materials and advertisements. If you are one of these organizations, what are doing to support this statement?

HR compliance is an enormous topic and there is much to be considered when discussing it. There are employment law compliance responsibilities around benefits, 401k plans, federal contracting, record retention, state, and federal regulations…the list is endless. While the risk of not being in compliance can cost an organization hundreds of thousands of dollars, in some ways, I personally think this is one of the simplest disciplines of Human Resources. As an HR consultant who conducts many Human Resource audits for our clients, my advice to you is to get a process in place and stick with it. Once you have identified and corrected any gaps that exist, it's important that you maintain compliance throughout the year and the following audit checklist can help you do just that.

In the DC Metro area, it's no secret that we have a multitude of Government Contracting firms. Over the past few years in particular, we have all felt the industry contract from $550 billion to $450 billion. While some may argue this contraction is temporary, we may still have a few more years of industry tightening.

Employment law, along with ensuring compliance with federal and state regulations, are two significant aspects of managing a workforce. They are both also convoluted and can cause an organization a lot of headache if not approached appropriately. Not only are Federal regulations complex and constantly evolving, it’s important to consider that various states have laws that are specific to the workforce in that state. If your organization holds contracts with the federal government there are several additional regulations that need to be monitored. As a leader of an organization, it’s important to have the right team on your side.