U.S. Department of Labor Ruling - New Overtime Salary Threshold - Urgent Updates for Your Ministry!

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WHAT IS CHANGING?    

The U.S. Department of Labor released a new rule regarding overtime wage payments in the U.S. that increases the salary threshold for exempt employees in two phases.

JULY 1, 2024
From $35,568 to $43,888 annually

JANUARY 1, 2025
The salary level is expected to increase to $58,656

WHAT DOES THIS CHANGE MEAN?

The adjustment in salary thresholds means employees earning less than the new thresholds would no longer qualify for the overtime exemption and therefore become eligible for overtime pay.

Employers are to provide overtime pay to employees at one and one-half times an employee’s regular pay for every hour the employee works beyond 40 hours in a workweek, unless the employee falls within an exemption.

REQUIRED CRITERIA FOR EXEMPTION

Employees MUST meet the Job Duties Test! Each category of exemptions has its own criteria relating to the primary job duties the employee performs.

AND

Currently employees MUST be paid on a salary or fee basis at no less than $684 per week ($35,568 annually).

FAIR LABOR STANDARDS ACT EXEMPTIONS

Employees are exempt from the FLSA minimum wage and overtime protections if they are employed in a bona fide executive, administration, or professional EAP capacity, as those terms are defined in the Department’s regulations here.

WHO DOES THIS CHANGE IMPACT?

  • Any employee paid on a salary basis.

  • Clergy serving in a ministerial role may be exempt from this requirement under the ministerial exception.

WHAT HAPPENS NOW?

Identify affected employees and assess how to handle changes to employee statuses such as:

• Payroll adjustments

• Redefining job descriptions

• Modifying work hours to manage labor cost 

Reclassify employees whose duties might not meet the requirements to be exempt

Plan for how to roll out reclassification decisions

• Train reclassified employees on timekeeping requirements

Budget for increases in salary and overtime expenses

Decide, given the interim and 2025 salary thresholds, if you will make the changes in two steps or jump to the 2025 threshold

HOW TO COMPLY?

Employers have a range of options for responding to the updated thresholds established in this rule.

Some examples include:

• Increase the salary of the employee to at least the new salary level to retain their exempt status

• Pay an overtime premium of one and a half times the employee’s regular rate of pay for any overtime hours worked

• Reduce or eliminate overtime hours

• Consider nondiscretionary bonuses up to 10% of the salary threshold

• Reduce the amount of pay allocated to the employee’s base salary (provided that the employee still earns at least the applicable hourly minimum wage) to offset new overtime pay

• Convert a position to hourly wages (tracking hours and providing meal/rest breaks would be required)

FIRST INCREMENTAL SALARY INCREASE DEADLINE: JULY 1, 2024

FAQ’s
Download PDF
Download PowerPoint “EFFECTING YOUR MINISTRY STARTING JULY 1, 2024”

Open Letter Regarding Ministries of Mercy and Compassion along the Texas Border

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March 2024
Greetings in the name of the Lord Jesus Christ.

Recently, there has been an intensity of dehumanizing language and a militarizing of border areas over the complex and demanding situation along the border in Texas. We recognize the efforts of many of our first responders, migrant shelters, and advocacy centers as noble and express our deep appreciation for engaging in this important and sacred work. Yet, we offer this open letter to stress the need for religious institutions of all faiths to freely continue in ministries that encompass acts of mercy and compassion to the most vulnerable in our communities, including migrants, without the risk of retribution by authorities.

It is our sacred duty as Christians and United Methodists to follow the teachings of Jesus when it comes to ministries of mercy and compassion. Jesus said in gospel of Matthew, “For I was hungry and you gave me something to eat, I was thirsty and you gave me something to drink, I was a stranger and you invited me in, I needed clothes and you clothed me, I was sick and you looked after me, I was in prison and you came to visit me.” We seek to honor this teaching in the best traditions of the Church Universal. We seek to serve all humanity to honor God.

We support migrant shelters and ministries offering food and shelter and dignity in many places from the Annunciation House in El Paso, TX to the Good Neighbor Settlement House in Brownsville, TX. We support our Catholic friends and other leaders of faith. We stand in solidarity with the statement from the Conference of Catholic Bishops: “We must especially preserve the freedom of Catholics and other people of faith to assist their communities and meet migrants’ basic human needs.” The United Methodist Church has a long history of supporting and funding migrant refugee centers on the border. Some of these Christian migrant refugee centers are well over 100 years old and have been providing humanitarian assistance long before the divisive politics of our modern times.

We call on Christians and United Methodists to continue in the sacred work of providing food and shelter and dignity to the most vulnerable in our midst.

We call on government institutions to work in harmony with us towards ending this crisis along the border in a way that reflects the best traditions of our country.

We call upon leaders to cease dehumanizing rhetoric that fans the flames of prejudice and racism.

Respectfully,

Robert Schnase
Bishop
Rio Texas Conference
New Mexico Conference

 

Transformational Communities Network Receives $1.25 Million from Lilly Endowment Inc.

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The Rio Texas Conference has received a $1,250,000 grant from Lilly Endowment Inc. to help establish the Transformational Communities Network Academy for Congregational and Community Transformation (ACCT) of the Rio Texas Conference of The United Methodist Church.

The project is funded through the Lilly Endowment Inc. Thriving Congregations Initiative. The aim of the initiative is to encourage the flourishing of congregations by helping them deepen their relationships with God, enhance their connections with each other, and contribute to the vitality of their communities and the world.

Transformational Communities Network (TCN) is a project of the Rio Texas Annual Conference of The United Methodist Church. Its goal is to strengthen local congregations and revitalize communities by providing training and ongoing support for congregational work and community development. The TCN training helps congregations join with their neighbors to accurately assess their current reality, identify giftedness, map community assets, clarify and articulate a shared practical vision, formulate strategic directions, and develop an actionable plan for moving forward.

Recognizing that community transformation is “long work,” TCN provides ongoing training and support by connecting local church leaders with others doing similar work throughout the Rio Texas Annual Conference and beyond. TCN’s vision is to see a vital and ever-expanding network of thriving churches actively participating in the work of community transformation.

“TCN is excited about this next step to journey with congregations in their ongoing community engagement work and to celebrate the stories and learnings coming out of this work,” said Abel Vega, Rio Texas Conference Director of Mission, Service, & Justice Ministries. “It is hoped that in the next few years partnering with communities, we will see the vibrancy of transformation, healing, and wholeness needed for these days.”

Rio Texas Conference is one of 105 organizations that has received grants though a competitive round of the Thriving Congregations Initiative. Reflecting a wide variety of Christian traditions, the organizations represent mainline Protestant, evangelical, Catholic, Orthodox, peace church, and Pentecostal faith communities.

“Congregations play an essential role in deepening the faith of individuals and contributing to the vitality of communities,” said Christopher L. Coble, Lilly Endowment Inc. Vice President for Religion. “We hope that these programs will nurture the vibrancy and spark the creativity of congregations, helping them imagine new ways to share God’s love in their communities and across the globe.”

 

About Lilly Endowment Inc.

Lilly Endowment Inc. is a private foundation created in 1937 by J.K. Lilly Sr. and his sons Eli and J.K. Jr. through gifts of stock in their pharmaceutical business, Eli Lilly and Company. While those gifts remain the financial bedrock of the Endowment, it is a separate entity from the company, with a distinct governing board, staff and location. In keeping with the founders’ wishes, the Endowment supports the causes of community development, education and religion and maintains a special commitment to its hometown, Indianapolis, and home state, Indiana. A principal aim of the Endowment’s religion grantmaking is to deepen and enrich the lives of Christians in the United States, primarily by seeking out and supporting efforts that enhance the vitality of congregations and strengthen the pastoral and lay leadership of Christian communities. The Endowment also seeks to improve public understanding of diverse religious traditions by supporting fair and accurate portrayals of the role religion plays in the United States and across the globe.

Contact:
Abel Vega
Rio Texas Conference
Director of Mission, Service, & Justice Ministries
(210) 408-4514

Are you ready to be a Lighthouse Congregation?

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After Annual Conference in June, Rio Texas Conference began working on what we felt were important and contextual pieces needed to become a Lighthouse Congregation. Other conferences began the concept earlier as they had churches disaffiliate as early as fall 2022. 

Rev. Karen Horan, Director of Creating and Vitalizing Congregations and Developing Leaders along with the Las Misiones Lay Leader Mark Mitchell began learning all they could about Lighthosue Congregations. We are so grateful to Rev. Rob Hutchinson of the Western North Carolina Conference who has shared their process and materials. Many congregations made the decision and taken the steps to become a Lighthouse Congregation. If your church desires to be a Lighthouse Congregation, please visit riotexas.org/lighthouse-congregations

If your church has voted to be a Lighthouse Congregation and you don’t see your name on the list below, please send your signed resolution to Rev. Karen Horan (khoran@riotexas.org) and Nicole Alabi (nicolea@riotexas.org) and we can get you on the list.

Current Lighthouse Congregations:

  • La Trinidad San Antonio

  • Colonial Hills UMC

  • St. Mark UMC McAllen

  • Manchaca UMC

  • Emanuel UMC

  • Kempner UMC

  • Travis Park UMC

  • FUMC Edinburg

  • Helotes Hills UMC

  • Oak Meadow UMC