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As 2016 turns into 2017, here are some reminders on what’s new for employers this year.

Federal

  • Department of Labor Overtime Rule on Hold: The Federal Department of Labor overtime rule to increase the exempt minimum salary to $913.00/week is still on hold due to a federal judge’s injunction. Employers still need to ensure employees are classified correctly as exempt under the current salary and duties tests.

Maine

  • State Minimum Wage Increase: The Maine minimum wage will increase to $9.00/hour effective 1/7/17 with increases of $1.00/hour each year for the next three years reaching $12.00/hour in 2020.

The Maine tipped minimum wage is $5.00/hour. If tips plus the direct wage do not equal $9.00/hour, employers must pay the difference.

Employers should post the new Maine minimum wage poster. http://www.maine.gov/labor/posters/172017minimumwage.pdf

  • State Minimum Exempt Salary Increase: The Maine minimum salary for employees classified as exempt under the Fair Labor Standards Act also increases effective 1/7/17 to $519.24/week as this increases along with minimum hourly wage increases.
  • Portland Minimum Wage Increase: The City of Portland minimum wage increased to $10.68 per hour effective 1/1/17.

The Portland tipped minimum wage is the same as the state at $5.00/hour. If tips plus the direct wage do not equal $10.68/hour, employers must pay the difference.

Employers should post the new Portland minimum wage poster. http://www.portlandmaine.gov/DocumentCenter/Home/View/11159

  • Legalization of Marijuana in Maine: Recreational marijuana use will be legalized 30 days after certification of Maine referendum results by Governor LePage. Once legalized, legislation around marijuana use is anticipated. To assist employers in dealing with employee marijuana use, impairment detection training is being offered by the state. See the following link for more information – https://content.govdelivery.com/accounts/MEDOL/bulletins/1767eb5#link_1482423982341

For More Information

Stay tuned for updates and information, and be sure to contact KMA for assistance with your HR needs.