Salary Changes Put on Hold!

Late this afternoon, a Texas federal judge enjoined the U.S. Department of Labor’s new overtime pay rule on a nationwide basis. The court concluded that the Fair Labor Standards Act does not grant the US DOL the authority to utilize a salary-level test or an automatic updating mechanism under the agency’s final rule.

Accordingly, the US DOL’s rule that would have increased the minimum salary level for exempt employees from $455 per week ($23,660 annually) to $921 per week ($47,892 annually) will NOT go into effect on December 1, 2016, as originally scheduled.

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