As expected, the Obama Administration has appealed the ruling by a federal district judge in Texas blocking the overtime update rule for salary workers that was to take effect on December 1, 2016. I discussed this ruling in an earlier post: Overtime Reform Blocked by Federal Judge; Fairness for Working Americans Again Stymied. Kentucky Governor Matt Bevin caused the state to join the suit blocking the overtime update, Governor Bevin Joins Suit Against New Overtime Rules. There are many reports and stories: Administration will appeal court order blocking overtime rule and Obama Administration Appeals Judge's Ruling To Block Overtime Pay Rule.
The update of the overtime rule for salary employees raised the threshold for the salary overtime exemption to $47,476. It is presently and has been for a long time at $23,660. If the threshold had kept paced with inflation, it would be about $69,000. The success of corporate interests in keeping the threshold so low is why overtime has disappeared, as I've discussed before, Kentucky Overtime Lawyer On New Overtime Rules, Overtime & Salaried Workers - So Why Did Overtime Disappear?
The appeal will not get decided before January 20, 2017, when President Obama leaves office. The Trump Administration will surely drop the appeal, so the overtime reform and update will not take effect. Elections, as they say, have consequences; one consequence of the 2016 Presidential election is that reform of overtime rules will be delayed four more years plus.
Lexington, Kentucky overtime lawyer Robert Abell helps individuals and employees recover the overtime and wages they've earned but not been paid; contact him at 859-254-7076.
