arrow_back Back to App

Higher Overtime Pay Thresholds: More Workers Eligible for Extra Pay

This bill aims to increase the number of employees who will receive extra pay for overtime work. It introduces new, higher salary thresholds above which employees will not be automatically exempt from overtime rights. This means more salaried workers can expect additional compensation for working over 40 hours a week, potentially improving their personal finances.
Key points
The act raises the minimum salary threshold for employees exempt from overtime pay, meaning more individuals will be eligible for extra compensation.
New salary thresholds will gradually increase: to $45,000 in 2023, $55,000 in 2024, $65,000 in 2025, and $75,000 in 2026.
Starting in 2027, the threshold will be automatically updated annually to match the 55th percentile of national full-time salaried worker weekly earnings, ensuring its relevance.
The act also limits the time exempt employees can spend on non-managerial duties, aiming to prevent misuse of exemptions.
article Official text account_balance Process page
Expired
Citizen Poll
No votes cast
Additional Information
Print number: 118_HR_2395
Sponsor: Rep. Takano, Mark [D-CA-39]
Process start date: 2023-03-29
Lustra uses Artificial Intelligence. Verify details in source documents.
Summarized by: gemini-2.5-flash-preview-05-20
Source data: api.congress.gov
AI work logs for this document launch

OFFICIAL LEGAL TITLE

Restoring Overtime Pay Act of 2023

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 118_HR_2395.

Which chamber initiated this legislation?

This legislation was initiated in the House of Representatives.

When did the legislative process begin?

The process officially started on 2023-03-29.

What are the main provisions?

Key points include:

  • The act raises the minimum salary threshold for employees exempt from overtime pay, meaning more individuals will be eligible for extra compensation.
  • New salary thresholds will gradually increase: to $45,000 in 2023, $55,000 in 2024, $65,000 in 2025, and $75,000 in 2026.
  • Starting in 2027, the threshold will be automatically updated annually to match the 55th percentile of national full-time salaried worker weekly earnings, ensuring its relevance.
  • The act also limits the time exempt employees can spend on non-managerial duties, aiming to prevent misuse of exemptions.
What is the specific legal status?

The current status is Expired.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Rep. Takano, Mark [D-CA-39].

What is the latest detailed status?

The latest detailed status is: Referred to the House Committee on Education and the Workforce.

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-24.

CATEGORIES

Labor