Texas Court Stops Implementation of Minimum Salary IncreaseYesterday, November 22, 2016, a federal judge in the Eastern District of Texas issued a preliminary injunction delaying the implementation of the Department of Labor regulation that would have increased the minimum salary for exempt workers from $455 per week to $913 a week on December 1, 2016. This does not mean that the rule will never be implemented, but it does mean that the rule will almost certainly not be implemented in 2016.
For the time being, employers may continue to classify employees making more than $455 a week but less than $913 as exempt from overtime if they also meet the duties test.
Mr. Stovall assists all types of employers in addressing worker-related issues, including issues arising under the Fair Labor Standards Act. Don't hesitate to call Jay if you have any questions about this ruling or any other aspect of your employee compensation programs.