Overtime Pay Rules Will Cause Big Problems for Montana Nonprofits

New rules related to overtime pay being proposed by the US Department of Labor (DOL) are cause for concern in Montana’s nonprofit community. The changes will cause significant increases in payroll costs and inevitably leading to a reduction of services to nonprofit clients and patrons.

Under current DOL rules, employers, including nonprofit organizations, may designate employees who are in administrative and professional roles as salaried, “exempting” them from hourly wages and mandatory overtime. To qualify, those employees must make at least $23,660 annually and meet specific conditions for...