Overtime Rule Temporarily Suspended by Federal Judge
For the last six months, millions of workers and employers alike have been preparing for the new overtime rule set to go into effect on December 1, 2016. At its core, this rule would have required employers to pay overtime pay to salaried employees making up to $47,476; thereby, doubling the original overtime pay threshold amount.
Yesterday, this rule came to a screeching halt when a federal judge, in Texas, sided with 21 states and temporarily suspended the rule pending further review. U.S. District Court Judge Amos Mazzant determined that the Department of Labor does not have the authority to expand the overtime rule in the manner it has attempted to do so. Although the Judge’s suspension of the rule is not final, the Judge has already stated that the 21 states who oppose the rule are likely to win at the final hearing on this matter.
Read the Judge’s order in its entirety here.