As we recently reported, a federal judge has enjoined the new U.S. Department of Labor (“DOL”) overtime rule that was set to go into effect on December 1. The DOL has appealed the injunction, but the injunction remains in place. The rule has not gone into effect.
Under the new rule, the salary floor for white-collar overtime exemptions was increased from $455 per week ($23,600 per year) to $913 per week ($47,476 per year). For more information about the new rule.
The DOL has appealed the injunction to the U.S. Court of Appeals and has asked for expedited briefing of the appeal. Meanwhile, the injunction remains in effect. Even if the Court of Appeals agrees with the DOL’s request for expedited briefing, the appeal would not be considered until after President-Elect Trump took office. Many observers have expressed the view that the new president’s administration is likely to accept the injunction and abandon the new rule.
For now, the injunction remains in place and the new rule has not gone into effect. Steps taken by employers in light of the injunction stopping the rule should be continued. The DOL’s appeal of the injunction and request for expedited briefing shouldn’t affect what employers have been doing since the injunction went into effect on November 22.
If you have specific questions about how this situation impacts your company today, please contact our Labor & Employment Law Practice Group. We encourage you to subscribe to our Labor & Employment E-Briefs to get the latest HR news, tips, and updates.