This column was originally written before the November 2016 injunction referenced herein was issued, so some last-minute modifications have been made to the content. However, it contains valuable information and recommendations for chiefs, regardless of the final outcome of the court case.
On November 22, 2016, a Texas federal district court judge issued a U.S.-wide injunction to stop the implementation of the new Department of Labor (DOL) overtime rule. The rule, which was set to take effect on December 1, 2016, would have made overtime pay available to an estimated additional 4 million workers across the United States by increasing the salary threshold for those eligible for the overtime exemptions from $23,660 to $47,476.
Unless (or until) the injunction is lifted, the proposed rule will not go into effect. It is possible that the incoming Trump administration will take a different stand on the issue and might not pursue an appeal at all or might suggest some modifications to the proposed rule.