Happy New Year from Southwestern HR Consulting (SWHRC)! We are off and running. The New Mexico Legislature technically begins on 1/16/24 but legislation is already being pre-filed. The only Human Resources (HR) pre-filed legislation as of the beginning of this week is House Memorial 1. The memorial requests a study to equalize the pension benefit structure between the Educational Retirement Board (ERB) and the Public Employees Retirement Association (PERA). The memorial states that while members of the educational retirement system earn “slightly” less in compensation, that they receive “significantly” less in pension benefits. It sites a study by the NM Bureau of Business and Economic Research and notes the existence of an inequity in ERB benefits in comparison with PERA. The memorial also signifies that elementary and secondary education professionals have predominantly been women and request a study to help determine the ability to bring the educational retirement system structure into parity with the public employee retirement system to mitigate this disparity.

This year is a short session which ends at noon on February 15, 2024. We have not yet seen any legislation on minimum wage. However, a review of minimum wage increases across the country for this year include roughly half of the states. While the federal minimum wage did not change for the nation, the minimum wage for federal contracts that fall under Executive Order 14026 will have had to increase their minimum wage rates to $17.20 per hour as of January 1, 2024. Given that there was no increase for New Mexico this year, we foresee the introduction of proposed legislation for increases to the minimum wage in New Mexico. In addition, we expect to see another attempt at introducing legislation on paid family leave to New Mexico again.

As reported last year, the Feds announced an NPRM (Notice of Proposed Rulemaking) for updating the exemption status for hourly workers. In it, they proposed overtime pay for “most salaried workers earning less than $1,059 per week, about $55,000 per year, which is much higher than the current threshold of $35,568 or $684 per week.) The Feds are considering the comments made. We expect to get the decision later this year. Follow Southwestern HR Consulting (SWHRC) as we track additional compliance issues in 2024.

Follow Southwestern HR Consulting (SWHRC) as we track additional compliance issues in 2024.

Written by | Magdalena Vigil-Tullar

HR Consultant | MBA, SPHR, SHRM-SCP, CLRP

Phone: 505-270-7494 | Email: magdalena@swhrc.com

PO Box 14274 | Albuquerque, NM 87191