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Changes to Employment Law for 2020

Effective January 1, 2020, over two dozen federal and state employment laws went into effect, which will have an impact on issues involving salaries, employment reclassifications, drug testing, accommodations for pregnant and nursing mothers, and family and medical leave. Employers will need to ensure that they are following these updated laws. The following is an overview of the changes to the Fair Labor Standards Act (“FLSA”) and the changes to employment law in New Jersey.

FLSA Overtime Amendments

● The minimum annual salary for most exempt employees increased to $35,568 per year. For the roughly 1.3 million workers in this country who fall into this group, this is the first time that the salary threshold has been raised in over 15 years. Many workers believe that the increase is still insufficient.
● Employers may count non-discretionary bonuses and incentive payments to meet up to 10 percent of the standard salary level test. However, only employers who are paid annually or more frequently are eligible.
● The minimum annual salary for highly compensated employees increases from $100,000 to $107,432.
● All new hires must fill out the redesigned IRS Form W-4.

New Jersey Salary History Ban Law

In the Garden State, employers may no longer ask job candidates about their salary history, which includes inquiring about wages and benefits. The goal in preventing companies from making offers to prospective employees based on past salaries, or refraining from making an offer, is to promote pay equality among men, women, and minorities in New Jersey. According to the National Partnership for Women and Families, women in New Jersey are paid 82 cents for every $1 earned by men. State employers had to comply with a salary history ban since 2018. The updated law now includes private employers as well. Employers who do not comply with this new law will face penalties of up to $1,000 for their first offense, $5,000 for a second offense, and $10,000 for additional violations.

Philadelphia Employment Lawyers at Sidkoff, Pincus & Green P.C. Represent Workers Whose Employers Violated New Employment Law Changes

If your employer is not in compliance with the new employment laws, you are urged to contact the Philadelphia employment lawyers at Sidkoff, Pincus & Green P.C. as soon as possible. It is your employer’s responsibility to understand and comply with the new laws. Our skilled legal team will protect your rights and secure the financial compensation you deserve. To schedule an initial consultation, call us today at 215-574-0600 or contact us online. Located in Philadelphia, we serve clients throughout Pennsylvania and New Jersey.