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In the News

June 2, 2025

Managing Pay Disparities in the Era of Transparency

HR.com

In an interview published in HR.com’s May 2025 Payroll, HRIS, Time & Attendance Excellence, Mitch Boyarsky and Matt Brown discussed key compliance priorities for 2025, including auditing employee classifications, adjusting salary structures, and preparing for pay transparency mandates. They highlighted actionable steps for employers to balance legal risks with workforce expectations in a rapidly changing policy climate.

“With constantly evolving changes to federal wage-hour law, employers should review employee classifications in light of the current state of the law. In April 2024, the U.S. Department of Labor (DOL) issued a final rule to increase the minimum salary thresholds for overtime exemptions under the Fair Labor Standards Act (FLSA). On November 15, 2024, a federal court enjoined the rule, finding that it exceeded the DOL’s authority under the FLSA. The DOL’s pending appeals have been paused by the current administration, meaning the 2019 threshold levels remain in effect, and future changes to the salary thresholds are uncertain,” they explained. “Notwithstanding these developments, employers should continue to monitor changes to overtime rules and thresholds. Likewise, employers should audit their workforce for proper employee classification, preferably on an annual basis. Audits should include a close review of job duties and roles, maintaining accurate and up-to-date job descriptions and reporting structures, reviewing compensation across employees and groups, and related analysis with the assistance of counsel to ensure proper employee classification.”

You may read the full interview here.