Title
Resolution Amending the Pay Classification Plan for Compliance with the New Federal Final Rule to Update the Regulations Defining and Delimiting the Exemption for Executive, Administrative, and Professional Employees Which Updates the Salary Level Required for Exemption.
Summary
Description of Topic: (who, what, where, when, why and how much)
In May 2016, the Fair Labor Standards Act (FLSA) which governs the federal minimum wage and overtime pay requirements set by the Department of Labor was amended and new regulations issued. These regulations revised the criteria which previously defined the salary level required for exemption. The new regulation sets the salary level at the 40th percentile of earnings of full-time salaried workers in the lowest-wage Census Regions, currently the South, which is $913 per week or $47,476 annually for a full-year worker. The due date for implementation of the new regulation is December 1, 2016. There are currently 23 positions within the City's Pay Classification Plan which need reclassified from exempt to non-exempt to meet the new FLSA regulation.
Budgetary Impact:
Non-Capital Item:
____ Budgeted under account #_______________ (discussion item)
____ Not budgeted, requesting transfer of $__________ from Account #______________ to Account #_____________.
____ Not budgeted requiring increase to account #___________ in the amount of $____________.
Capital - Departmental
____ Budgeted under account #______________ for $___________ and described in budget as __________________________________.
Additional amount needed, if any: Increase in budget of $_____________ OR, transfer of $___________ from Account #____________ to Account #_______________
____ Not Budgeted - account #____________ requires budget increase of $_____________.
Capital Project - **THE PRE-PROJECT CHECKLIST AND BUDGET CHECKLIST MUST BE ATTACHED TO THIS FILE**
In current year Capital Projects Plan:
_____ Yes, planned amount $___________, requesting $_________ as total project estimate, including contingencies, under account #_________________
_____ No, requesting $___________ as total project estimate, including contingencies, under account #____________________
Body
WHEREAS, In May 2016, the Fair Labor Standards Act (FLSA) which governs the federal minimum wage and overtime pay requirements set by the Department of Labor was amended and new regulations issued. The FLSA ruling revised the criteria which previously defined the salary level required for overtime exemption, and
WHEREAS, The new overtime regulation sets the salary level at the 40th percentile of earnings of full-time salaried workers in the lowest-wage Census Regions, currently the South, which is $913 per week or $47,476 annually for a full-year worker, and
WHEREAS, The due date for implementation of the new regulation is December 1, 2016, and
WHEREAS, There are currently 23 positions within the City's Pay Classification Plan which need reclassified from exempt to non-exempt to meet the new FLSA salary level regulation.
NOW THEREFORE BE IT RESOLVED that the City Council of the City of Foley, Alabama, as follows:
SECTION 1: Amends the Pay Classification Plan to re-classify the following positions from exempt to non-exempt status: Position Job Codes as follows: 1671; 1681; 2003; 2808; 1622; 2402; 1113; 2502; 1112; 2204; 1850; 2407; 1013; 2902; 2303; 2205; 2002; 2203; 1920; 1820; 2811; 1830; 1404 effective with the Pay Period Beginning November 29, 2016.
SECTION 2: This Resolution shall become effective immediately upon its adoption as required by law.