The National Employment Law Project (NELP) has commended the U.S. Department of Labor (DOL) for its final rule designed to strengthen and expand overtime protections for workers across the country. The DOL's prompt adjustment of the current threshold to account for inflation since its last update in 2019 was particularly praised by NELP.
According to a press release by NELP, the DOL is addressing the low salary threshold by increasing it to $43,888 per year as of July 1, 2024. This move is expected to benefit approximately one million workers. The goal is to provide relief to workers grappling with the rising cost of living by expanding the number of workers entitled to overtime compensation. Moreover, the DOL plans to raise the salary threshold further to $58,656 per year on January 4, 2025. This would extend enhanced protections to an additional three million workers who work more than 40 hours per week without additional compensation.
"Once again, the Biden Administration is listening to workers by taking these much-needed steps to restore overtime protections for millions of workers," said Rebecca Dixon, president and CEO of NELP. Dixon added that "the share of workers guaranteed overtime pay when they work more than 40 hours a week has plummeted since the 1970s as the salary threshold has eroded with inflation. Workers will be grateful for the long-overdue protections this updated rule will provide."
According to information provided on its website, the DOL aims to improve the welfare of wage earners, job seekers, and retirees in the United States by enhancing working conditions, promoting employment opportunities, and ensuring benefits and rights.
NELP is an advocacy group dedicated to creating a fair and inclusive economy where workers enjoy extensive rights and thrive in quality employment. Established in 1969, NELP collaborates with various local, state, and national partners in pursuit of its mission. This is achieved through legal and policy initiatives, research, capacity-building, and communication efforts, according to the About webpage provided by NELP.