Monday morning musings for workplace watchers
Overtime Policy Overhaul| Pulling Demographic Reports
Parker Purifoy: The 2024 overtime rule officially died last week. But the question remains if the Department of Labor will do anything further with the standard.
The DOL’s technical amendment to its regulation on who qualifies for time-and-a-half wages withdrew the Biden-era policy which, if it had gone into effect, would have made four million more workers eligible for overtime.
It raised the exemption threshold to $58,656 for white-collar workers but was struck down by two Texas federal judges who found the move to be beyond the department’s authority.
Jim Paretti, an employer-side attorney with Littler Mendelson PC, said the decision to formalize the rule’s nullification didn’t change things for employers. But, he said, it did raise questions about whether the DOL, under acting Labor Secretary Keith Sonderling, would work to put their own stamp on the regulation.
Last week’s rescission put back in place the final rule from 2019 setting the salary threshold at $35,568.
The move comes after the Trump administration pushed heavily for no taxes on overtime wages or tips in 2025.
The department may feel more constrained in blazing new territory because of those 2024 court orders and similar legal challenges to the Obama-era attempt to raise the salary threshold.
But the DOL could examine the work-duties portion of the test exempting an employee if they’re a “bona fide...
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