Aug 31, 2017 — Breaking News for the DOL Overtime Rule. 
Just yesterday, experts were predicting that the approx. $47K salary threshold proposed by the Obama administration would, in fact, remain, and that the temporary junction against that salary threshold would be removed. Today, the tables have turned. A Texas federal judge ruled against it, citing “improper use of the salary exemption test”. The problem is that, currently, to be exempt, organizations must pass both the duties and salary exemption. Over the years, the DOL under both Republican and Democratic administrations have been whittling away at those exemptions, but “quantum changes” occurred with the near doubling of the salary threshold that was due to take place in Dec 2016.
What does this mean for us today? It means a reprieve and time to get our HR ducks in order while DOL determines what the legal process might be for updating overtime rules. But it doesn’t mean life is going to be business as it was pre-Obama or that all the Obama-era rules will change. The Fed DOL has issued a request for public comments. These are the types of questions they’re asking. Should there be a salary threshold, and, if so, how it should be calculated (and to what it should be tied)? Should there be various thresholds depending upon geographical area? What changes, if any, should be made to the duties exemptions?
Change will happen, but it will be more methodical. And when it does, Secretary of Labor Acosta will make certain that he’s dotted his I’s and crossed his T’s so that it won’t get hung up in a federal court again.
We’ll post and update more, but do give us a couple days to get our administrative ducks in order as well!