Wednesday, November 23, 2016

New FLSA Overtime Regulations - Temporary Block

New FLSA Overtime Regulations - Temporary Block

Late yesterday, a federal judge issued a preliminary injunction blocking the December 1, 2016 deadline for requiring overtime pay for employees making more than $913 per week.

The Department of Labor (DOL) had enacted the new Fair Labor Standards Act (FLSA) regarding overtime regulations from going into effect on December 1, 2016. With the federal judge intervention, employers [in the short term] are not subject to the more than doubled salary threshold for exempt employees.

per week – are on hold for now, pending final resolution from the court.

This is a significant setback to the DOL’s attempts to increase the salary threshold, please be mindful that the new rule has only been temporarily blocked at this point. With only five (5) business days to go before the planned effective date of December 1, 2016, it seems unlikely that future legal proceedings could result in the rule becoming effective as scheduled.

AdvisorAssist will inform you if there are any developments.