Nov. 22 2016

Breaking: Nationwide Injunction Issued to Block New FLSA Overtime Rule

Topics: New Laws & Legislation, Wage & Hour Issues

Earlier today, Judge Mazzant of Eastern District of Texas issued an order granting the request of 20 states for a nationwide preliminary injunction blocking the Obama administration's new rule raising the minimum salary for the FLSA white collar overtime exemptions to over $47,000.  The rule was scheduled to take effect next week on December 1. In enjoining the rule, the court found that the states had demonstrated a likelihood of prevailing on the merits of their lawsuit and had shown that irreparable harm would result if the rule was not blocked immediately.  In so ruling, the court found that the rule was unlawful and exceeded the authority of the Department of Labor.  With the court's ruling, the new overtime rule is temporarily blocked on a nationwide basis pending final disposition of the litigation (and/or reversal of the order following review on any appeal).  

The case is State of Nevada, et al v. United States Department of Labor and is pending in the Eastern District of Texas.

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Robin Largent represents employers, including major food and retail companies, in all types of employment litigation: wrongful termination, retaliation, breach of contract, wage and hour (California Labor Code) and unfair competition. She also regularly counsels and advises California employers on issues of compliance with California and federal employment laws.
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