On Nov. 22, 2016, a federal judge in Texas issued a preliminary injunction, halting the enforcement of the Department of Labor’s (DOL) new overtime rule until further notice. This means employers can continue to follow the current mandates set by the Fair Labor Standards Act (FLSA) until any new announcements are made regarding the overtime rule.
The rule, originally scheduled to take effect on Dec. 1, 2016, would have increased the salary threshold for the “white collar overtime exemptions” to $47,476 per year. This prompted some employers to make adjustments ahead of the rule deadline.
Employers who already adjusted salaries and employee classifications have the ability roll back those changes, but should consider employee morale before simply retracting those adjustments. It is important for the HR department to clearly communicate next steps to applicable employees, so they aren’t left speculating. Read More
