Time running out to comment on long-stalled overtime rule

September 14, 2017 0 COMMENTS

HR News Overtime Rule NearsEmployers and others have until September 25 to submit comments to shape the rule governing which workers are eligible for overtime pay. Once the deadline passes, employers will face a waiting game before learning what changes may be in store.

In late July, the U.S. Department of Labor (DOL) announced it was soliciting comments through a Request for Information (RFI) dealing with the long-stalled and much-debated rule aimed at raising the salary threshold in the Fair Labor Standards Act (FLSA) so that more workers will be eligible for overtime pay.

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DOL seeking feedback on long-debated overtime rule

July 25, 2017 0 COMMENTS

Overtime snipEmployers will get the opportunity to offer feedback on changes to the regulation governing which workers are eligible for overtime pay after the U.S. Department of Labor (DOL) publishes a Request for Information (RFI) in the Federal Register on July 26.

On July 25, the DOL announced it would publish the RFI and released a preliminary copy. The RFI is the latest action on a rule issued in May 2016 during the Obama administration. Implementation of the rule would have added approximately 4.2 million employees to the ranks of workers eligible for overtime pay of at least 1½ times their regular rate of pay for hours worked in excess of 40 in a workweek.

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DOL drops defense of overtime rules

June 30, 2017 0 COMMENTS

by Susan Prince, JD, MSL

The U.S. Department of Labor (DOL), headed by new Secretary of Labor Alexander Acosta, has decided not to defend the overtime rules finalized under the Obama administration. Instead, the DOL will seek to begin a new rulemaking process, likely with a lower salary threshold for overtime exemptions.

Background

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Signaling end of overtime rule, DOL will seek public input on new regs

June 08, 2017 0 COMMENTS

On June 7, Secretary of Labor Alexander Acosta said he will soon formally request the public’s input on new overtime regulations. The announcement signals that the U.S. Department of Labor (DOL) likely will drop its defense of former President Barack Obama’s overtime rule, according to one expert.

A request for information (RFI) likely will be filed with the White House’s Office of Management and Budget (OMB) in the next two to three weeks, Acosta told lawmakers during a budget hearing of the House of Representatives’ Committee on Appropriations.

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‘Breathtakingly radical’: Acosta questions legality of any overtime threshold

March 23, 2017 0 COMMENTS

President Donald Trump’s nominee for secretary of labor has questioned whether the U.S. Department of Labor (DOL) has the authority to set any salary threshold for overtime pay—not just the pending increase that would raise the threshold to $47,476.

Alexander Acosta volunteered that concern twice during his March 22 confirmation hearing, despite no questions from lawmakers to that effect. A former DOL economist who worked under President Barack Obama called Acosta’s statements “breathtakingly radical,” noting that an overtime threshold has been in place since 1938.

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Overtime rule update: District court won’t wait for appeals court’s ruling

January 04, 2017 0 COMMENTS

On January 3, a federal district court judge said he won’t halt proceedings in the case challenging the U.S. Department of Labor’s (DOL) new overtime rules despite concurrent litigation in the U.S. 5th Circuit Court of Appeals.

The rules, which were scheduled to take effect December 1, 2016, would have required employers to pay overtime to employees earning less than $913 per week ($47,476 annually).

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New York adopts higher salary thresholds for exempt employees

December 29, 2016 0 COMMENTS

by Charles H. Kaplan
Sills Cummis & Gross P.C.

Employers in New York must increase the salaries of exempt executive and administrative employees by December 31 to meet the requirements of recently adopted regulations. Employers also must decide whether to increase exempt employees’ salaries each year to match annual increases required by the new regulations.

On December 28, the New York State Department of Labor (NYSDOL) adopted regulations that will increase the minimum salary thresholds for executive and administrative employees under the wage and hour provisions of New York state’s Labor Law. The Labor Law does not require a minimum salary for exempt professional employees.

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Puzder hearing set for January, Dems defend overtime rules

December 28, 2016 0 COMMENTS

The Senate has scheduled a January confirmation hearing for President-elect Donald Trump’s pick for secretary of labor.

Trump’s nomination of Andy Puzder, CEO of CKE Restaurants, was the death knell for the U.S. Department of Labor’s (DOL) new Fair Labor Standards Act (FLSA) overtime regulations, according to John Husband, a partner at Holland & Hart in Denver and an editor of Colorado Employment Law Letter.

It already was expected that the Trump DOL would withdraw the department’s appeal of an injunction blocking the rules, but Puzder’s nomination solidified that prediction, Husband previously said.

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Puzder nomination could be the end of overtime rules

December 13, 2016 0 COMMENTS

The president-elect’s nomination of Andy Puzder for secretary of labor may very well be the final nail in the coffin for the new overtime rules.

Puzder, CEO of CKE Restaurants, has been an outspoken critic of President Barack Obama’s employment initiatives for years. Several of those efforts, especially the overtime rules, are dead given Puzder’s appointment, says John Husband, a partner at Holland & Hart LLP and an editor of Colorado Employment Law Letter.

The overtime regulations, which would have required employers to pay overtime to all employees earning less than $913 per week ($47,476 annually), were scheduled to take effect December 1. With just days to spare, a federal district court judge issued a temporary injunction halting the rules’ implementation. The U.S. Department of Labor (DOL) appealed the injunction order to the U.S. 5th Circuit Court of Appeals, which agreed to fast-track its review. Still, the expedited schedule puts final briefings after the inauguration.

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Movement on overtime rules unlikely before Trump takes office

December 06, 2016 0 COMMENTS

The U.S. Department of Labor (DOL) has requested that an appeals court fast-track its appeal of an injunction blocking the new overtime regulations. But even if the court agrees to the DOL’s proposed expedited schedule, it wouldn’t take action on the injunction until at least February, weeks after President-elect Donald Trump takes office.

The department filed an appeal with the U.S. 5th Circuit Court of Appeals on December 1. It argued that a federal district court judge’s injunction halting the rules “rests on an error of law and should be reversed.” The judge called into question the DOL’s authority to establish a salary basis test for overtime eligibility under the Fair Labor Standards Act (FLSA). In its appeal, the DOL argues that the 5th Circuit has already sanctioned the test in previous opinions.

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