The California Department of Industrial Relations announced increases to pay rates for physicians and software employees must receive to be considered exempt from overtime. The increased rates go into effect on January 1, 2025.
- Computer software employees must earn at least $118,657.43 annually ($56.97 per hour or $9888.13 per month).
- Physicians must earn at least $103.75 per hour to be exempt.
Employers operating in California must ensure that all exempt employees met applicable duties tests and salary thresholds.
This article is informational and does not constitute legal or financial advice. Consult with an employment lawyer or accountant for additional clarification on how these changes impact your company.
