Human Resources

Administration Division

Fair Labor Standards Act (FLSA)

Managers of Non-Exempt Employees

It’s important to develop a good understanding of Fair Labor Standards Act (FLSA) basics to assist your employee, and yourself, during the conversion. Use these tools and resources to assist you and your employees shifting from exempt to non-exempt status.

Top 10 FLSA Facts

  • In June 2015, the U.S. Department of Labor proposed changing the FLSA. Ten months later, in May of 2016, official changes were announced with a compliance deadline of Dec. 1, 2016.
  • The minimum salary threshold required for an employee to be exempt from overtime was raised from $23,660 annually to $47,476 annually.
  • Decisions for an employee to be exempt or non-exempt were based on U.S. Department of Labor salary and duties tests and University System of Georgia policies and guidelines.
  • This change in no way reflects adversely on the value of employees’ work or the importance of their contributions to USG.
  • Non-exempt employees are required to track time worked.
  • Converted employees’ pay (compensation) and benefits will remain the same.
  • Converted employees will not lose accrued vacation time or sick time, and the accrual rate will not change. However, the actual accrual will shift from monthly to bi-weekly.
  • Employees converting from exempt to non-exempt will need to plan for a transition period between the last exempt paycheck and the first non-exempt paycheck.
  • USG HR and your HR representative will be available along the way to support employees with information and training resources.
  • Communication between managers and affected employees is vital.
Download the Top 10 FLSA Facts