New overtime regulations will become effective on August 23, 2004. Under these “FairPay” rules, workers earning less than $23,660 per year — or $455 per week — are guaranteed overtime pay at a rate of time and one-half the regular rate of pay for all hours worked over 40 in a workweek. As part of these new regulations, the exemptions from overtime pay for employees employed in bona fide executive, administrative, professional, outside sales people and certain computer positions have also been revised. Businesses should familiarize themselves with these rules to ensure compliance with the Fair Labor Standards Act. For more information regarding these new regulations, please contact Mary Elizabeth Davis.