Salary Threshold

Trump Judge Blocks Overtime Pay for Millions

A Texas federal judge blocked the Biden administration’s expansion of overtime pay protections, ruling the Labor Department overstepped its authority. This rule would have raised the salary threshold for overtime pay to $58,656, impacting an estimated 4 million more workers. The judge’s decision, halting the regulation nationwide, maintains the stricter existing rules. The Labor Department could appeal, but the incoming Trump administration will ultimately decide the rule’s fate. Employer groups opposed the rule due to increased labor costs.

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Trump Judge’s Ruling Eliminates Overtime Pay for Millions

A Texas federal judge blocked the Biden administration’s rule expanding overtime pay eligibility for millions of salaried workers. The judge sided with Texas and business groups who argued the Labor Department overstepped its authority by prioritizing employee wages over job duties in determining eligibility. The ruling reinstates the 2019 threshold of $35,568, reversing the planned increase to $43,888 and then $58,656. This decision mirrors a 2016 court ruling that struck down a similar Obama-era expansion.

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