(Agency Letter Head)

<Insert Date>

<Insert Employee Name>

<Insert Employee Division>

Position classification/number: <Insert Position classification/number>

Re: Fair Labor Standards Act (FLSA) Determination

Dear < Employee Name>,

The U.S. Department of Labor (DOL), the agency which interprets and enforces the Fair Labor Standards Act (FLSA), has issued new regulations which change employee eligibility for overtime pay. The new regulations, which go into effect on December 1, 2016, increase the salary threshold for determination of FLSA exempt and non-exempt status.

In compliance with NMAC 1.7.4.14, <Insert Agency Name> is providing this notice that your salary has been examined against the new regulations and your FLSA designation must be changed from exempt to non-exempt. Pursuant to NMAC 1.7.4.14, you have a right to appeal the designation within thirty (30) days.

As a non-exempt employee, you are entitled to be compensated for hours worked which exceed 40 hours in a week. Overtime may be compensated as cash payment or the accrual of compensatory time (i.e., comp time) at the rate of one and one-half times each hour worked beyond 40. Consistent with policy, employees must obtain advance approval from their supervisor before working any overtime hours. Please take time to familiarize yourself with <Insert Agency Name>’s attached Overtime policy and make sure you and your supervisor have an understanding about how you will record your hours to properly account for required meal-breaks and any hours worked away from the office.

We want to assure you that this change will in no way adversely reflect the level or value of your work or your importance to <Insert Agency Name>. This change in FLSA status to non-exempt is being made to comply with the DOL regulations and it provides you with wage and hour protections that you did not have as an exempt employee.

Please sign and date this letter below to acknowledge receipt of notification and return this letter to the <Insert Agency Name> Human Resources Bureau (HRB) no later than Thursday, November 17, 2016. A copy will be provided to your supervisor and another copy will be placed in your Personnel File.

Acknowledgment of Receipt:

___________________________________________ _______________________

(employee signature) Date

Please do not hesitate to contact me if you have any questions, (505) <Insert Telephone Number> or via email at <Insert e-mail address>.

Sincerely,

<Insert HR Staff Name>

<Insert HR Staff Title>

Enclosure: <Insert Agency Name> Overtime Policy

xc: Personnel File