New Federal Rule Requires Townships to Pay Mandatory Overtime Starting in July 

The U.S. Department of Labor finalized a rule that will require overtime to be paid to all workers earning less than $844 per week or $43,888 annually beginning on July 1, 2024. Currently, employees earning less than $684 per week or $35,568 per year must be paid overtime if they work more than 40 hours per week, regardless of job duties. This threshold will increase to $58,656 per year or $1,128 per week on January 1, 2025. In addition, the ruling would increase this salary threshold every three years.   

PSATS is concerned that this substantial change is an unfunded mandate on townships and submitted comments detailing these concerns in September 2023 and encouraged townships to comment as well. To read the PSATS letter, click here. To view the press release, click here. To view the rule and reasons for it, click here.