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Judge Blocks Overtime Rule Halting December 1st Implementation

Wednesday, November 23, 2016   (0 Comments)
Posted by: Jennifer Addington
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Judge Blocks Overtime Rule


In a move that is sure to be welcome news to many many small business owners, a federal judge blocked the new overtime rule that was due to take effect on Thursday, December 1st. 

U.S. District Judge Amos Mazzant agreed with the 21 states  and business groups and granted a nationwide injunction that will prevent the rule from being implemented. 

The rule, released by the Labor Department in May, would nearly double the threshold at which many employees are exempt from overtime to $47,476 from $23,660.

What Now?
The move can give the incoming administration and Congress the opportunity to reverse or modify the rule. Trump previously indicated that the overtime rule was representative of undue burdens placed on small business. Many in Congress have vowed to fight the rule change as well.

While the Obama Administration could appeal the decision, the appellate court in this case has previously ruled against the Administration on executive orders dealing with immigration. That path seems unlikely. 

For now, this will be seen as a huge relief for many green industry firms. Going forward, stay tuned for more details on how this, and many other issues will play out with the new Congress and Presidential Administration. 

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