Upcoming changes to FLSA by the Department of Labor

April 29, 2024

This week the Department of Labor (DOL) finalized a new Fair Labor Standards Act (FLSA) exempt salary threshold, with the finalized ruling published on the DOL website.  The University has been tracking the potential change to the exempt threshold since a proposed ruling was announced and we have been preparing to take action once the rule was finalized. Per the final ruling, the new exempt salary threshold will be increased to $43,888 annually as of July 1, 2024, and further increased to $58,656 annually as of January 1, 2025.  The salary change does not impact the current overtime exemptions in place including the exemption for teaching, etc. Human Resources will be partnering with the Office of General Counsel over the coming weeks as we prepare to implement this change at the University. In advance of a more detailed plan, we can share a couple of items:

  1. Baylor will continue to invest in staff positions through the merit process this summer with changes effective August 1. 
  2. The impact of the July 1 increase will be minimal to our staff. We will identify the impacted staff, connect with appropriate leadership to make the needed adjustments. As a reminder, salary levels and exemption status are and will continue to be based on the role and associated job duties, not an individual. 
  3. Over the coming weeks and months, we will continue with a variety of actions we’ve already started in expectation of the DOL announcement. Staff and managers can expect additional information to be forthcoming in Fall 2024 for the January 2025 impacted employees. 


Over the coming weeks, the HR team will be developing a plan to remain in compliance while balancing financial stewardship.  If you have additional questions, you can connect with your HR Consultant.