Uneven Start for New Overtime Rules

May 17, 2004 (PLANSPONSOR.com) - New federal overtime rules have generated some controversy - but they won't take effect in all states at the same time.

>The Labor Department regulations issued last month (see  DOL Releases FLSA Changes ) will go into place automatically in 32 states and the District of Columbia, according to the Associated Press, citing a Seyfarth Shaw analysis.    

>However, the remaining 18 have their own overtime requirements, some of which mirror the old federal rules being replaced in August (see  DOL’s FLSA Rules Require Compliance by August 23 ). Legislative action is required in some states to make changes.

>The federal rule is a minimum standard, and while states can have their own requirements, they cannot be less generous with overtime eligibility.

>For example, in , which has its own overtime requirements, Democratic Governor Jim Doyle’s administration said the state may choose to ignore the new federal rules in favor of the old.   Meanwhile, Illinois passed a law last month keeping the old definitions of administrative, professional and executive employees (see  Illinois Cherry Picks OT Rules Helping Low-Income Workers ), and in Minnesota “the state does not have to endorse or bless these changes nor will the state regulations automatically change,” according to Roslyn Wade, assistant commissioner of the state Labor and Industry Department per the AP report.

Other states impacted include,,,,,,,,North Dakota , ,,, andWest Virginia .