Editor's note, updated Dec. 9, 2016: On Tuesday, November 22, 2016, a US District Court in Texas granted a preliminary injunction to postpone enforcement of the US Department of Labor's changes to the Fair Labor Standards Act (FLSA).
The Iowa Department of Administrative Services has informed state agencies that the new FLSA rule will not be implemented at this time.
The University of Iowa is suspending its implementation of the Fair Labor Standards Act (FLSA) changes that were intended to take effect on December 1, 2016.
More professional and scientific employees at the University of Iowa will become eligible for overtime premium pay due to new regulations published by the Department of Labor affecting the Fair Labor Standards Act (FLSA). The new regulations increase the minimum salary required to be paid on a salaried basis, meaning that fewer employees will be exempt from the requirement to pay overtime.
Who is affected?
In general, depending on their primary duties, professional and scientific staff who currently earn more than $23,660 per year but less than $47,476 per year will be impacted by this change.
Employees working in more than one position for the university will be affected based on the combined income from their positions. Special provisions have been created for specific jobs in higher education, such as coaches and academic administrative personnel. Individuals who are employed only during the academic year or are employed short term also may be treated differently.
More details are available here.
Staff Council has partnered with University HR to offer several forums from Oct. 24–Nov. 17 focused on explaining the FLSA and its impact on work habits. Listen to a recording of the first forum here.
What changes for those affected?
In general, those affected will go from being salaried to being paid on an hourly basis.
Affected individuals who work in excess of 40 hours in any work week must be paid an overtime premium (1.5 times their regular hourly rate) for all hours in excess of 40. Departments may offer comp time to be used as paid leave instead of overtime.
Working more hours than agreed upon and scheduled must be approved in advance by a supervisor.
In order to determine when overtime is owed, employees and supervisors will need to keep track of the number of hours worked per week. Employees working in more than one position for the university would combine the time worked from both jobs when determining overtime pay. See how to record time worked here.
Employees and supervisors will need to discuss how this affects work expectations. Because employees must be compensated for all time worked, this discussion should include understandings about work that may currently occur after normal business hours, such as checking email, required meetings, et cetera, and might therefore contribute to accruing overtime.
What qualifies as time worked?
Work time ordinarily includes all time during which an employee is required to be on duty or at a prescribed work place. However, hours worked may extend outside of scheduled work hours if the individual continues to perform work activities that serve to benefit the university. This includes working during a meal, regular breaks, and checking email outside normal work hours.
Questions about work travel, conferences, volunteer time, and other situations also may arise, and employees and supervisors are encouraged to consult with unit HR representatives and browse details offered at University Human Resources, as well as the Department of Labor (see Hours Worked Under FLSA).
What stays the same?
The change in overtime eligibility does not impact any benefits, including retirement, insurance benefits, vacation, or sick leave accrual. Professional and scientific staff continue to be eligible for career status under university policy, providing notice and priority should your job be eliminated, plus expanded grievance rights.
The value of your individual contribution and your status as a colleague and member of the university community does not change.
When will these changes happen?
Changes at the UI will become effective Nov. 20, 2016, in order to be in compliance with the federal regulations by Dec. 1.
Read more details about FLSA changes at the University Human Resources website.