SEATTLE — It's been 15 years since the federal government last updated its overtime laws. Some people are exempt from overtime because of the amount of money they make.
Currently, salaried workers have to make at least $23,660 to be exempt from overtime. Starting in January, the threshold jumps to $35,568.
Some people are disappointed with the increase, because under an Obama administration proposal it would have jumped to $47,000, which would have doubled the number of new people eligible for overtime.
Washington state follows federal guidelines when it comes to overtime rules, but that is likely to change as early as December.
Washington state's Department of Labor and Industries is considering new overtime rules. They spent the last several months taking public feedback.
The salary threshold would incrementally increase to 2.5 times the state minimum wage.
Beginning July 1, 2020, employers with 50 or fewer employees would need to pay someone $35,000 per year to be considered salaried, under the state's proposal. Larger companies would have to pay $49,000 per year. And, they must meet a job duties test.
The salary thresholds will go up annually until all businesses reach 2.5 times the state minimum wage threshold in 2026, under the current proposal.
An estimated 250,000 employees in Washington would be impacted. L & I said it plans to make a decision by early December.
For more details on the plan click here.