Salaried exempt employees have to earn at least the state thresholds because they are higher than the federal threshold. If other salary changes are needed, departments should process those actions in accordance withuniversity policies. 2023 University of Washington | Seattle, WA, University of Washington Human Resources Home, Final candidate guide to COVID-19 vaccination requirement, HR Benefits, Analytics & Information Systems, Professional & Organizational Development, FLSA and WMWA overtime eligibility and exemption, Checklist Create professional staff temporary position, Department responsibility for pay equity review, Wage and salary setting for staff and student positions, Student hourly employee compensation and work hours limits, Total compensation statements for UW staff, WA State threshold for OT exempt employees will rise in 2023 by 24%. Mr. Pankratz has extensive experience representing employers both locally and nationally on various employment Brenda Bannon is of counsel in the Seattle office of Ogletree Deakins and joined the firm in March 2019. Mar 02, 2023 . The choice of a lawyer or other professional is an important decision and should not be based solely upon advertisements. This content provides practical information concerning the subject matter and is provided with the understanding that ADP is not rendering legal advice or other professional services. The minimum salary threshold will increase through January 1, 2028, at which time it is projected to reach $93,288. To qualify for the administrative, professional and executive exemptions in California, employees must meet certain salary and duties tests and must be paid at least twice the state minimum hourly wage based on a 40-hour week. $16.50 per hour (up from $15.75 per hour) for employees of smaller employers who receive medical benefits worth at least $2.19 per hour or earn at least that much per hour in tips. Seattle and the City of SeaTac have minimum wage rates higher than the state minimum. To be classified as exempt from New York's overtime requirements, executive and administrative employees must meet minimum salary requirements and satisfy certain duties tests. The minimum salary threshold will increase through January 1, 2028, at which time it is projected to reach $93,288. California Law May Limit Hospitals Ability to Adopt The Joint Ankura CTIX FLASH Update - February 28, 2023, Ankura Cyber Threat Investigations and Expert Services. (s#%=]XzqEh$P=%D&H.&Ab}d!,x\pK+!r dev"! Under the states exemption for highly technical computer employees, the employee may be paid by salary (at least $961.54 per week in 2023) or by the hour ($31.41 per hour in 2023). Starting January 1, 2022, the Washington state minimum wage will be $14.49 per hour. of Business Administration. For employees working in Seattle and the City of SeaTac, the local minimum wage rate applies as long as it remains higher than the state minimum. Due to the monthly base pay model at the UW requiring rounding up to a whole dollar amount, the UWs monthly and annualized thresholds are slightly higher than the states weekly threshold as shown in the table below: L&I Salary Threshold effective Jan 1, 2023. January 1, 2023 Employer with fifty or fewer employees - an amount not less than 1.75 times the state minimum wage prescribed in WA Statute 49.46.020 for a forty-hour workweek. Tips: The minimum wage rates in both Seattle and SeaTac continue to be higher than the statewide rate in Washington. Six states increased the minimum salary requirement for overtime exemption on January 1, 2023. Note: The minimum salary threshold does not apply bona fide teachers exempted under the Professional Exemption. The Health AI Frontier: New Opportunities for Innovation Across the FTC to Hold Workshop on Recyclable Claims. The Washington state overtime threshold for exempt jobs as of January 1, 2023 is set by state rule at 2 times the state minimum wage and will be $1,259.20 per week. The state of Washington minimum wage will increase from to$14.49 to $15.74 per hour on January 1, 2023. See new exemption . An explanation of this requirement and a sample notice form can be found on Seattles wage theft ordinance webpage. For information about any potential impacts on academic personnel, please email the Office of Academic Personnel at acadpers@uw.edu or call 206-221-UWAP (8927). The 2023 minimum wage rate in Washington State will increase to $15.74 per hour for employees sixteen years of age and older, the Washington State Department of Labor & Industries announced on September 30, 2022. The Future of Stablecoins, Crypto Staking and Custody of Digital White House Climate and Environmental Justice Screening Tool. As a result, employers must pay a salary of at least $1,240 per week beginning January 1, 2023 to qualify for the exemption. 1/1/2023 . Information regarding minimum wage can be found on theHRS website. A new 2023 version of the required workplace poster is available online. Pacific Lutheran University, B.S. Exempt salary: As a result of the minimum wage increase for nonexempt employees, the minimum salary for white-collar workers who are exempt from overtime will increase as of January 1, 2023, as well. The state anticipates that by 2028, nearly 260,000 positions that were previously exempt under the Minimum Wage Act will be impacted. Mr. Pankratz represents corporations and management in a myriad of employment-related and complex commercial matters, including litigation involving discrimination, retaliation, harassment, wage and hour, wrongful termination, ADA and FMLA leave issues, and other matters in state and federal courts and administrative agencies. Human Resources will provide training and share best practices to guide supervisors through the impact of these changes. www.grsm.com is using a security service for protection against online attacks. Unlike teaching professionals, however, positions falling within the Executive, Administrative, or Professional exemptions are subject to a state-required minimum salary to be classified as exempt.. For example: relocation pay. Ms. Bannons practice has emphasized the defense of municipal and other governmental clients in state and federal court litigation, in addition to providing routine employment law advice and counsel to local agencies Human Resources professionals. The state previously used two job duties tests that have been reduced to one test with language that now more closely aligns with the federal job duties tests. As a result of the Colorado Overtime & Minimum Pay Standards Order, the minimum salary required to qualify for the executive/supervisor, administrative, and professional exemptions under state law increased to $961.54 per week on January 1, 2023. 2023, Ogletree, Deakins, Nash, Smoak & Stewart, P.C. Ogletree, Deakins, Nash, Smoak & Stewart, P.C. The public submitted almost 2,300 comments by email, fax, and mail, and 182 people testified during public hearings during this process. Breaking the Link New Developments on U.S. The FLSA allows for exemptions from these overtime and minimum wage requirements for certain employees who work in administrative, professional and executive jobs (known as "exempt" employees). Note: There is also a professional exemption under state law. Before applying this information to a specific management decision, consult legal counsel. If you have any questions regarding this change, please see the FAQ document or discuss them with your departments HR administrator. The overtime threshold . The salary threshold under federal law is only $684 per week, so employers in Washington must pay at the higher state level. The salary rates may vary depending on the city/county where an employee resides/works in California. On December 31, 2022, the minimum wage increased in areas other than New York City and Nassau, Suffolk, and Westchester Counties. Y@FLc)uy c? The new state minimum wage for 2023 is $15.74 an hour. ~$65,478.40 (2 x Minimum Wage, Employers with 51 or more Employees). Employees whose primary duty is teaching, instructing, or lecturing to impart knowledge are not eligible for overtime and this change does not impact them. At least 1.75 times the minimum wage, or $1,101.80 per week ($57,293.60 per year), At least 2.0 times the minimum wage, or $1,259.20 per week ($65,478.40 per year). National Law Review, Volume XII, Number 277, Public Services, Infrastructure, Transportation. Other factors will have an impactChanges in Washingtons minimum wage are now calculated each year. As a result, professional staff, contract covered staff, and classified non-union overtime positions that do not meet . In other cases, employers may need to increase salaries for exempt employees. Employers Beware: Non-Disparagement and Confidentiality Covenants in Consultation Paper On Review of Corporate Governance Norms For A High Californias War On The Fast-Food Industry Continues. On January 1, 2021, Washington's minimum wage will increase from $13.50 to $13.69. HRS will assist colleges/areas in evaluating the impact of these changes. Remember that employees must be paid at the highest minimum wage rate that applies to them. Please contact your HRS Service Team if you have any questions. 2023 Exempt Status Salary Threshold by City and State . In 2023, large employers must pay exempt employees at least $1,259.20 per week ($65,478.40 per year) to meet the states minimum salary requirement to be exempt from overtime requirements. For the computer professional employee exemption, the employee may be paid by salary (as long as it is at least $684 per week) or by the hour (as long as it is at least $27.63 per hour). Can Nonprecedential Decisions Be Relied Upon? We cannot become your lawyers or represent you in any way unless (1) we know that doing so would not create a conflict of interest with any of the clients we represent, and (2) satisfactory arrangements have been made with us for representation. Under certain state laws the following statements may be required on this website and we have included them in order to be in full compliance with these rules. Use tab to navigate through the menu items. Her practice extends to private sector clients. This rate is subject to mandatory annual adjustments which are usually announced in October or early November. Although the federal minimum wage has been $7.25 for years, 29 states and Washington, D.C., have higher rates, and many new wage hikes took effect this year. Y321N-!s%/ 6aG3TbAx1}Net3BIYr[@KdqZ?w*. Seattle minimum wage: The City of Seattle is increasing its minimum wage requirement to $18.69 per hour for most employers. Large employers (fifty-one or more employees) must pay exempt employees at least two times the minimum wage to meet the minimum salary requirements. The Washington state overtime threshold for exempt jobs as of January 1, 2023 is set by state rule at 2 times the state minimum wage and will be $1,259.20 per week. The January 1, 2023, minimum wage increase will impact civil service salary range 30, step A, B and C; salary range 31, step A and B; and salary range 32, step A. These changes affect executive, administrative, and professional (EAP) workers as well as outside salespeople and computer professionals across all industries in Washington. Dirty Steel-Toe Boots, Episode 16: Investigations and the OSH Acts DOE Issues FOA for Carbon Capture Large-Scale Pilots and Carbon A Forward Look at IRAs Sweeping Impact on the EV Sector [PODCAST]. Because the salary. A bill (S1982) introduced in the Senate on June 16 would create a Workers Compensation Ombudsman for Injured Workers. The service requires full JavaScript support in order to view this website. Employees aged 14 to 15 years must earn at least $13.38 per hour. Starting Monday, December 26, 2022, they will need to track the hours that they work following the established time tracking procedure in their department. The Washington State Labor and Industries (L&I) announced the minimum salary an employee must earn to be exempt from overtime. v5lJUmb"DbmR`U(vlf$2Y0@`5D#NW'3uUjJmLpgLF1MaLp!GHa67!?BW0CpbzqS&co6FQd+nV3XJ"cr BFND .9`yANhs-aj[c_ [Fg25SHsL ^h "9I\ HERE IT IS: The Czars HUGE Breakdown of the FCC NPRM is NOW Telehealth Update: DEA Issues Long-Awaited Proposed Rule on CFPB Provides Guidance on Auto Finance Data Pilot, Two Maui Men Sentenced for Racially Motivated Attack on White Man, US Executive Branch Update March 3, 2023, EPA Holds Third and Final TSCA Engineering Initiative Webinar. The salary threshold is adjusted for inflation each year by L&I, and will increase from $107,301.04 (the 2022 rate) to $116,593.18 for 2023. Washington's minimum wage is $14.49 per hour, up from $13.69 per hour in 2021. Employers may want to consult legal counsel about how this rule may impact them. Mandatory Arbitration Agreements Remain Valid in California, Antitrust Practitioners Expect Activity With Climate Issues. Salary threshold implementation schedule Salary thresholds for overtime exempt workers are a multiplier of state minimum wage for a 40-hour workweek 2023 Salary thresholds When the rule takes effect July 1, 2020 Jan. 1, 2021 Jan. 1, 2022 Jan. 1, 2023 Jan. 1, 2024 Jan. 1, 2025 Jan. 1, 2026 Jan. 1, 2027 Jan. 1, 2028 For small employers with 1-50 . State salary threshold for overtime exemption and minimum wage update, Centers, Institutes, facilities, and capabilities, Office of Research Supported Centers and Laboratories, Research Services and Instrumentation Directory, Institutional Animal Care and Use Committee, University Use of Unmanned Aircraft Systems Research Activity, Faculty Resource Guide for Washington Public Records Requests, Regional Clean Hydrogen Hubs: Fueling the Clean Energy Future, Data Management and Sharing Guidance Home, ORSO Policy 35 principal investigator and co-investigator eligibility reminders, What you need to know about harassment, discrimination, and your funders, WSU hosts DARPA Forward conference on Pullman campus, Office of Research Reminder on Public Record Requests and Records Retention, Considerations for Effective International Scholar Visits, Registration open for Working with Industry 101 workshop, Reminders regarding required Responsible Conduct of Research CITI Training, Research Leadership Program prepares mid-career faculty for large multidisciplinary projects, Proposal opportunity: Urban Institutes Do No Harm Project, When to work with ORSO vs. other offices around WSU, Denise Keeton receives WSU Presidents Award for Health, CEREO appoints co-directors to lead the center, Office of Research to host sixth annual Research Week. www.grsm.com is using a security service for protection against online attacks. Seattle and SeaTac require a higher minimum wage rate for employees working within city limits (see below). Since the state threshold that takes effect January 1, 2023 is higher than the federal, employers in Washington State will need to follow the higher state threshold. Ms. Bannons employment law practice includes providing employers proactive advice and practical solutions to current or potential employee problems to manage risk related to discipline Ms. Fletcher represents employers in all aspects of employment claims and litigation in federal and state courts, at arbitration, mediation, and before administrative agencies, including matters involving wrongful termination, discrimination, sexual harassment, disability and religious accommodation, retaliation, wage and hour, and breach of contract claims. Washington's overtime employment rules have changed. So You're Green Prove It or Be Prosecuted: ACCC Sweep Finds 57 California Court of Appeal Addresses When Violations are Willful or Whats new in Belgium on the employment front? These laws require the university to provide overtime pay to employees for any work hours exceeding 40 hours in a given workweek unless that employee is exempt from these laws. Washington State Proposal Would Radically Increase Exempt Salary Threshold The Washington Department of Labor and Industries recently issued proposed amendments to the state's white-collar. Effective January 1, 2023, employees must earn $65,478.40 annually ($5,456.55 monthly) to be exempt from overtime, regardless of duties and responsibilities. The 2023 minimum wage rate in Washington State will increase to $15.74 per hour for employees sixteen years of age and older, the Washington State Department of Labor & Industries announced on September 30, 2022. GT's The Performance Review Episode 19: Is the Fight Over AB 51 5 Reasons Community Associations Need an Attorney That Specializes in New York Proposes Regulatory Review and Approval of Material Health CMS Issues Long-Awaiting Medicare Advantage RADV Final Rule, Preventing the Use of Cryptocurrencies to Evade Sanctions. The new hourly minimum, which applies to employees 16 years and older, will increase 80 cents per. The service requires full cookie support in order to view this website. Free Speech Shines Bright, Illuminates Patent Owners Right to Allege California Supreme Court to Address Rounding of Employee Time. Large employers with 51 or more employees must pay exempt employees a weekly salary of at least $1,259.20 ($65,478.40 per year). The content and links on www.NatLawReview.comare intended for general information purposes only. Given the steep increase in the minimum wage, the states salary requirements for exempt employees are also increasing significantly. BIPA ALERT: Illinois Supreme Court Opens the Door to Punitive, President Biden to Nominate Julie Su as New Secretary of Labor, The European Unitary Patent: Why Retailers Should Care, New York City Employers Prepare for AI Bias Law [VIDEO], Administration's WOTUS Rule Muddies Jurisdictional Waters. Two local jurisdictions have higher minimum wages and different labor rules than Washington State. Seattles minimum wage rates apply to all nonexempt employees for all hours they work within the city limits. The federal Fair Labor Standards Act (FLSA) requires that employers pay most employees at least the federal minimum wage for each hour worked as well as overtime pay for all hours worked in excess of 40 in a workweek. In Washington, employees must satisfy certain salary and duties tests to be classified as exempt from overtime under state law. $58,240 (employers with 25 or fewer employees), $62,400 (employers with 26 or more employees), $64,480 (All employers regardless of size), $58,511 (NYC, Nassau, Suffolk, Westchester), $55,341 (12/31/2022 for All other NY Workers), ~$50,740 (1.75 x Minimum Wage, All Employers 2022), ~$57,293.60 (1.75 x Minimum Wage, Employers with 1-50 Employees).