-
- News
- Books
Featured Books
- smt007 Magazine
Latest Issues
Current IssueBox Build
One trend is to add box build and final assembly to your product offering. In this issue, we explore the opportunities and risks of adding system assembly to your service portfolio.
IPC APEX EXPO 2024 Pre-show
This month’s issue devotes its pages to a comprehensive preview of the IPC APEX EXPO 2024 event. Whether your role is technical or business, if you're new-to-the-industry or seasoned veteran, you'll find value throughout this program.
Boost Your Sales
Every part of your business can be evaluated as a process, including your sales funnel. Optimizing your selling process requires a coordinated effort between marketing and sales. In this issue, industry experts in marketing and sales offer their best advice on how to boost your sales efforts.
- Articles
- Columns
Search Console
- Links
- Events
||| MENU - smt007 Magazine
U.S. Department of Labor Proposes New Wage and Overtime Regulations
August 6, 2015 | IPCEstimated reading time: 3 minutes
On June 30, the Department of Labor (DOL) proposed new wage and overtime regulations under the Fair Labor Standards Act (FLSA) and is seeking comments by September 4, 2015.
DOL proposes to raise the salary threshold for an employee to be exempt from minimum wage and overtime pay to be equal to the 40th percentile of earnings for all full-time salaried workers in the United States. In 2015, this would equate to $970 per week, or $50,440 annually. Under the current regulations, an executive, administrative, or professional employee must be paid at least $455 per week ($23,660 per year) in order to qualify for the exemption.
The Department is also proposing to include a mechanism to automatically update the salary and compensation thresholds on an annual basis using either a fixed percentile of wages or the Consumer Price Index for All Urban Consumers (CPI-U).
In the proposed rule, DOL also asks whether revisions to the “duties tests” are necessary in order to ensure that these tests fully reflect the purpose of the exemption.
On July 23, the U.S. House of Representatives Subcommittee on Workforce Protections held a hearing on the proposed rule. Issues raised during the hearing include a number of the concerns raised by IPC members (discussed below).
Industry Concerns
IPC Government Relations (GR) committee members highlighted the following concerns:
- The proposed threshold is too high for entry level purchasing, manufacturing, and engineering
- The salary threshold may be inappropriate for rural, southern, and low cost of living areas.
- The proposed threshold would raise costs and is a direct formula for exporting work to lower cost of living countries
Background
On March 13, 2014, President Obama signed a Presidential Memorandum directing the DOL to update the regulations specify which workers are exempted from the FLSA’s minimum wage and overtime regulation.
Since 1940, the regulations implementing exemption for executive and professional (EAP) or “white collar” workers have required each of three tests to be met for the exemption to apply: (1) The employee must be paid a predetermined and fixed salary that is not subject to reduction because of variations in the quality or quantity of work performed (the “salary basis test”); (2) the amount of salary paid must meet a minimum specified amount (the “salary level test”); and (3) the employee’s job duties must primarily involve executive, administrative, or professional duties as defined by the regulations (the “duties test”).
DOL believes that regularly updating the salary and compensation levels is the best method to ensure that these tests continue to provide an effective means of distinguishing between overtime-eligible employees and those who may be bona fide executive and professional (EAP) employees. DOL does not make specific proposals to modify the standard duties tests, but is seeking comments on whether the tests are working as intended to screen out employees who are not bona fide EAP employees. In particular, the DOL is concerned that, in some instances, the current tests may allow exemption of employees who are performing such a disproportionate amount of nonexempt work.
Action and Next Steps
IPC has joined the Partnership to Protect Workplace Opportunity, a broad coalition of concerned parties with very similar concerns to those expressed by IPC members. IPC may sign on to the partnership’s comments, or draft our own if our concerns differ significantly.
The partnership has requested an extension of the September 4 comment deadline in order to allow more robust data collection and time to review of the proposed rule.
Several coalition members testified at the July 23, 2015 Congressional hearing, and the partnership also submitted a statement for the record. The partnership will be launching a grassroots campaignshortly; IPC members may wish to participate in addition to submitting comments.
IPC members with questions, comments, or an interest in reviewing the draft comments, should contact Fern Abrams, IPC director of regulatory affairs and government relations.
Suggested Items
Real Time with... IPC APEX EXPO 2024: Exploring IPC's PCB Design Courses with Kris Moyer
04/18/2024 | Real Time with...IPC APEX EXPOGuest Editor Kelly Dack and IPC instructor Kris Moyer discuss IPC's PCB design training and education offerings. They delve into course topics such as design fundamentals, mil/aero, rigid-flex, RF design, and advanced design concepts. They also highlight material selection for high-speed design, thermal management, and dissipation techniques. The interview wraps up with details about how to access these courses online.
IPC Bestows Posthumous Hall of Fame Award to Industry Icon Michael Ford
04/18/2024 | IPCIPC honored the late Michael Ford, Aegis Software, for his extraordinary contributions to the global electronics manufacturing industry with the IPC Raymond E. Pritchard Hall of Fame Award at IPC APEX EXPO 2024. IPC’s most prestigious honor, the Hall of Fame Award is given to individuals who have provided exceptional service and advancement to IPC and the electronics industry. Ford, an industry leader and valued IPC volunteer, died suddenly in January 2024.
Two Industry Rising Stars Recognized at IPC APEX EXPO 2024
04/17/2024 | IPCTwo of the industry’s best and brightest were presented with an IPC Rising Star Award at IPC APEX EXPO 2024 in recognition of their leadership roles and support of IPC standards, education, advocacy, and solutions to industry challenges. Award recipients were Naim Kapadia and Michael Schleicher.
Two Long-time IPC Volunteers Receive Dieter Bergman IPC Fellowship Award
04/17/2024 | IPCThe Dieter Bergman IPC Fellowship award was presented to two IPC volunteers at IPC APEX EXPO 2024. The award recipients have fostered a collaborative spirit, made significant contributions to standards development, and have consistently demonstrated a commitment to global standardization efforts. Tiberiu Baranyi and Zhiman Chen were chosen as award recipients as they embody the work ethic and spirit of the late Dieter Bergman, an industry pioneer and icon. As part of the award, they bestowed Dieter Bergman Memorial Scholarships to the university or college of their choice.
Real Time with... IPC APEX EXPO 2024: MYCRONIC's Evolution and New Solutions
04/17/2024 | Real Time with...IPC APEX EXPOHenry Crandall interviews Kevin Clue, the vice president of global sales for MYCRONIC's High Flex division. They discuss the company's evolution, emphasizing its strong customer relationships and its role as a versatile, turnkey solution provider. Kevin unveils new solutions launched at IPC APEX EXPO, including an AI-integrated inspection system and the A40 pick-and-place platform. The conversation also touches on the increased use of AI and deep learning.