News & Insights

In last months issue of Mind Your Business: PA School Bus Edition, we discussed the job duties test as a component of determining whether an employee is exempt from overtime under the Fair Labor Standards Act (“FLSA”). However, the job duties test is only half of the analysis. To qualify for most exemptions under the FLSA, employees must satisfy both the duties test and the salary test.

School bus contractors are no stranger to the requirements to pay overtime. Between the nationwide driver shortage requiring drivers to pick up additional trips, and other employees putting in extra hours to support the business, overtime can be a substantial component of your school bus operation. Contractors should be aware that, in some instances, school bus contractors may be exempt from paying overtime under the Fair Labor Standards Act (the “FLSA”). But, there are many considerations tha...

2024 brought many significant changes and events that affect the school bus industry. From the extension of the Under the Hood Exemption, to changes and challenges in new laws affecting employers, there was no shortage of news in the past year. Continuing reading for a recap of the year’s most significant events that may have an impact on you and your business.

On August 28, 2023, the Pennsylvania Department of Transportation (“PennDOT”) implemented FMCSA’s Under the Hood (UTH) CDL Testing Exemption to enhance school bus driver recruiting and retention as directed by House Resolution 15. This initiative is also known as the “School Bus Only CDL” because it allows school bus operators in Pennsylvania to simplify the CDL training process for candidates who are obtaining their CDL for the purpose of driving a “School Bus Only”. Continue reading f...

School bus contractors frequently have questions about the use of tax free “red dyed” diesel fuel for student transportation. Contractors want to be sure they are compliant with all laws, and often have to answer questions from schools, and sometimes from fuel suppliers who are not familiar with school bus operations. Continue reading to learn more about applicable laws on tax free red dyed diesel fuel.

The FMCSA is considering changes to its Hours of Service rules, some of which will have an effect on the school bus industry. Shortly after the Federal Motor Carrier Safety Administration (“FMCSA”) instituted Electronic Logging Devices (“ELDs”) to record hours of service, it received notice of additional changes which are desired by those who were affected. On August 22, 2019, the FMCSA issued a Notice of Proposed Rulemaking with changes that FMCSA is now proposing to the hours of service re...

Many remember the 2016 Obama era rule from the U.S. Dept. of Labor (US DOL) that sought to more than double the threshold for overtime pay by employers. That rule was contested in federal court and was ultimately withdrawn by the Trump administration. The U.S. Department of Labor is now again proposing a new rule that would increase the overtime pay threshold and the number of workers eligible for overtime pay and minimum wage.