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| Dr. David Weil addressing ILSA |
The federal presentations focused on partnering with the
states to provide more effective coverage; human trafficking preventions, enforcements
and victim services; and exemptions from the Fair Labor Standards Act
(FLSA). This blog addresses what was characterized
as the most expensive mistake, misclassification of a non-exempt individual as
an exempt individual under the FLSA Part 541, and
the source of some lively discussion.
While no commitments were made, the feds did agree they were in Oklahoma
City to listen and understand where the problems currently exist with the salaried
Executive, Administrative and Professional exemptions from minimum wage and
overtime . Hawaii has similar salaried “white
collar” exemptions from minimum wage and overtime, plus a Supervisory
exemption. (See
Hawaii Administrative Rules 12-20-2 through 12-20-5) No federal draft of proposed regulation
changes has been created yet so ILSA state representatives had an opportunity
to provide some perspective.
Present at the ILSA 50th Annual Conference were
many of the individuals at the state level who had contributed to the current
Part 541 regulations adopted in 2004. The
session with Dr. David Weil,
Administrator of Wage and Hour Division, United States Department of Labor and Michael Hancock, Assistant
Administrator for Policy, Wage and Hour Division, United States Department of
Labor, was insightful from the perspective of both the state administrators as
well as the candid comments from the feds. Anticipating a federal minimum wage increase
naturally causes the element of guaranteed salary minimum to be looked at
although substantive concerns surrounding the Administrative exemption were
clearly evident as well.
I had planned a trip to Maui to talk with SHRM-Maui on August
8th which was postponed (because of Hurricane Iselle) to Sept. 19. Now I’ll be able to share all the national
perspectives in addition to our Hawaii rules. I'm looking forward to having the local discussion on these issues. See you in Maui!
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