November 23, 2016
Late yesterday, a federal judge in Texas blocked the Department of Labor’s ruling on overtime pay, which was set to take effect on December 1st. This is the ruling that would require employers to pay employees making under $47,476 per year at a rate of time and one half their regular hourly pay, for all hours worked over 40 per week.
Many businesses and special interest groups filed suit, claiming that the ruling places undue burden on them and that they weren’t given sufficient time to comply before the implementation date. U.S. District Judge Amos Mazzant, in Sherman, Texas, agreed and granted their motion for a nationwide injunction.
We will provide more updates on this ruling as they become available. You can read more about this injunction from Reuters.
You may have questions about how this will affect your business, and we invite you to contact us if we can help.