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The Salary Basis Test’s Role in the DOL’s 2024 Final Rule The salary basis test was foundational in the DOL’s April 23, 2024, final rule that stipulated covered organizations must ensure all employees who are classified as exempt from overtime make at least: ;$43,888 in base salary beginning on July 1, 2024 (up from the previous $35,568 annual standard outlined in the DOL’s 2019 final rule), and; ;$58,656 in base salary beginning on Jan. 1, 2025.; Under the rule, an automatic escalator provision would increase that threshold every three years based on up-to-date wage data.

Global Employers for EU Pay Transparency , Workspan Daily Plus+ article;Checklist for Total Rewards to Be Compliant with H.R. 1 Provisions , Workspan Daily Plus+ article; For Everyone WorldatWork: 2026 Salary Increase Budgets Project U.S., Global Caution , Workspan Daily article;Global Healthcare Costs Projected to Rise More Than 10% in 2026 , Workspan Daily article;Charting the Changes: 2026 Benefit Plan Limitations , Workspan Daily article;2025-2026 Salary Budget Survey , research; Artificial intelligence (AI), agility and culture are top of mind for HR executives as they look ahead to 2026.

According to Zipperer et al. (2022), 1 in 7 workers earned less than the federal minimum wage, 1 in 5 workers went hungry and roughly 55% of gig workers intend to find a new job in the next three months.

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Some legal analysts do not anticipate other states immediately following the same additional pay transparency requirements, as most seem content with the federal requirement to file the EEO-1 report, a mandatory annual data collection that requires all private sector employers with 100 or more employees to submit demographic workforce data, including data by race/ethnicity, sex and job categories.; Among the many headwinds Silicon Valley companies currently face this year are new regulations that are designed to increase pay transparency but could also cause compliance headaches.