Overtime Pay Gets a Much-Needed Boost: What You Need to Know

The U.S. Department of Labor is giving overtime pay regulations a much-needed makeover, which is great news for workers in North Dakota and across the country.

New Overtime Pay Thresholds: What’s Changing?

Up until now, the salary threshold for overtime pay was $684 per week ($35,568 annually). With inflation, that just hasn’t cut it, and a lot of salaried workers have been stuck working long hours without extra pay.

Starting July 1, 2024, the threshold is getting bumped up to $844 per week ($43,888 annually). Then, come January 1, 2025, it’ll go up again to $1,128 per week ($58,656 annually). These changes, spread out over the next few years, are designed to catch up with current wage trends and our economic reality.

How Many Workers Will Benefit?

According to a recent analysis by personal injury law firm Bisnar Chase, based on data from the U.S. Bureau of Labor Statistics, around 17 million workers nationwide will now be eligible for overtime pay with these new thresholds. Here in North Dakota, an extra 48,741 workers will qualify for overtime pay. And our neighbors in Montana are also set to benefit, with 58,564 workers becoming eligible for overtime pay. That’s a big deal!

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Why These Changes Matter

Brian Chase, a partner at Bisnar Chase, explained why these updates are so important for North Dakota workers. “These updates are crucial in ensuring fair compensation and protecting millions of workers,” he said. He also pointed out that these changes help promote fair labor practices across various industries.

Financial Impact and Future Updates

The new rule is expected to shift about $1.5 billion annually from employers to workers in the form of increased pay. While that’s a substantial amount, it’s just a small fraction of total wages in the U.S. economy, so it shouldn’t hurt employers too much.

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Plus, the rule will automatically update every three years to keep up with economic changes, making sure that overtime protections stay effective and relevant.

A Step Toward Fair Labor Practices

Chase summed it up perfectly: “Expanding overtime protections through the Department of Labor’s updated rule not only safeguards workers’ time and compensation but also promotes fair labor practices across industries.” For all workers, this change is a big step in making sure they get fair pay and helping businesses stay fair and strong.

LOOK: 35 Vintage Cereals That Perfectly Captured Pop Culture Moments

Movies and TV shows have always found ways to partner with cereal companies as part of their promotion strategy. While some may have come up with a giveaway in boxes, others went big by having their own cereal connected to the movie or TV show title. Here are vintage cereals that were used to promote some of pop culture's biggest moments (and some you probably forgot about).

Gallery Credit: Rob Carroll

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