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In Our Judgement: In Law & In Life

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In Our Judgment

The official Frantz, McConnell, and Seymour, LLP blog.

UPDATE: TEXAS FEDERAL COURT BLOCKS IMPLEMENTATION OF NEW OVERTIME RULES

UPDATE: TEXAS FEDERAL COURT BLOCKS IMPLEMENTATION OF NEW OVERTIME RULES

Public and private employers throughout the United States received an early holiday gift from a United States district court in Texas on November 22, 2016. As I have discussed previously in this blog, the United States Department of Labor (DOL) issued new rules earlier this year substantially changing the federal law criteria for determining which employees can be deemed “exempt” from overtime requirements. Those new rules were to go into effect December 1, 2016. Currently, to be considered exempt from overtime requirements, an employee had to perform executive, administrative, or professional duties (the “duties test”); had to be paid a set weekly salary that did not change based upon the number of hours worked (the “salary level test”); and, pertinent to the current discussion, had to be paid at least $455.00 per week ($23,660 annually). This last criteria is referred to as the “minimum salary test.”

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