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Sent: 2016-11-28
From: Paul McCann Interim Vice-President for Business Affairs
To: All Employees, Various Recipients

Subject: Fair Labor Standards Act (FLSA) Overtime Update

<p style="font-size: 12px; font-family: Arial, Helvetica, sans-serif; font-variant-ligatures: normal; orphans: 2; widows: 2;"><strong><span style="padding: 0px; margin: 0px; font-variant-ligatures: normal; font-variant-position: normal; font-variant-numeric: normal; font-variant-alternates: normal; font-variant-east-asian: normal; font-weight: normal; line-height: normal;">For months, we have been following a Department of Labor Fair Labor Standards Act rule that would dramatically change minimum salary requirements for exempt employees or change who would be eligible for overtime under the new rules.&nbsp; The Administration began the process of reviewing all &ldquo;exempt&rdquo; employees to determine those employees who would be affected.&nbsp; That review was nearing completion and implementation processes were being developed.&nbsp; However, on Tuesday, November 22, 2016 a U.S. District Court Judge from Texas issued a preliminary injunction postponing the effective date, originally set for December 1, 2016.</span></strong></p>
<p style="font-size: 12px; font-family: Arial, Helvetica, sans-serif; font-variant-ligatures: normal; orphans: 2; widows: 2;"><strong><span style="padding: 0px; margin: 0px; font-variant-ligatures: normal; font-variant-position: normal; font-variant-numeric: normal; font-variant-alternates: normal; font-variant-east-asian: normal; font-weight: normal; line-height: normal;">What does this mean for the employees who were being reviewed?&nbsp; For now, this means that work to transition identified employees to a new pay classification of non-exempt has also been delayed.&nbsp; It is expected that the Department of Labor will likely appeal the ruling, but it remains uncertain just how long the appeals process will take.&nbsp;</span></strong><strong><span style="padding: 0px; margin: 0px; font-variant-ligatures: normal; font-variant-position: normal; font-variant-numeric: normal; font-variant-alternates: normal; font-variant-east-asian: normal; font-weight: normal; line-height: normal;">&nbsp;</span></strong></p>
<p style="font-size: 12px; font-family: Arial, Helvetica, sans-serif; font-variant-ligatures: normal; orphans: 2; widows: 2;"><strong><span style="padding: 0px; margin: 0px; font-variant-ligatures: normal; font-variant-position: normal; font-variant-numeric: normal; font-variant-alternates: normal; font-variant-east-asian: normal; font-weight: normal; line-height: normal;">To read about the final rule signed on May 18, 2016 and the most recent information regarding the imposed injunction, please visit the U.S. Department of Labor&rsquo;s website at:&nbsp;<span style="padding: 0px; margin: 0px; font-variant-ligatures: normal; font-variant-position: normal; font-variant-numeric: normal; font-variant-alternates: normal; font-variant-east-asian: normal; line-height: normal;">https://www.dol.gov/WHD/overtime/final2016/</span>.</span></strong></p>
<p style="font-size: 12px; font-family: Arial, Helvetica, sans-serif; font-variant-ligatures: normal; orphans: 2; widows: 2;"><strong><span style="padding: 0px; margin: 0px; font-variant-ligatures: normal; font-variant-position: normal; font-variant-numeric: normal; font-variant-alternates: normal; font-variant-east-asian: normal; font-weight: normal; line-height: normal;">&nbsp;</span></strong></p>
<p style="font-size: 12px; font-family: Arial, Helvetica, sans-serif; font-variant-ligatures: normal; orphans: 2; widows: 2;"><strong><span style="padding: 0px; margin: 0px; font-variant-ligatures: normal; font-variant-position: normal; font-variant-numeric: normal; font-variant-alternates: normal; font-variant-east-asian: normal; font-weight: normal; line-height: normal;">Paul McCann,<br /></span></strong><strong><span style="padding: 0px; margin: 0px; font-variant-ligatures: normal; font-variant-position: normal; font-variant-numeric: normal; font-variant-alternates: normal; font-variant-east-asian: normal; font-weight: normal; line-height: normal;">Interim Vice-President for Business Affairs</span></strong></p>

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