Fair Labor Standards Act

A federal district judge in Texas has invalidated Obama overtime regulations which would have made it more likely states and local governments would have had to pay more employees overtime.

Per the Fair Labor Standards Act (FLSA), executive, administrative, and professional “white collar” employees do not have to be paid overtime if they work more than 40 hours a week. Per Department of Labor (DOL) regulations, adopted shortly after the FLSA was adopted in 1938, employees must perform specific duties and earn a certain salary to be exempt from overtime as white collar employees.

On May 23, 2016, DOL issued final rules nearly doubling the previous salary level test for white collar employees from $455 per week, or $23,660 per year, to $913 per week, or $47,476 per year. The rules also automatically update the salary level every three years for white collar employees.

President-elect Donald Trump has vowed to get rid of numerous federal regulations adopted by the Obama Administration. Impossible many say. If there is one man who may be able to make this happen it is Supreme Court Justice Anthony Kennedy.

Three of the most important regulations to state and local government were the subject of litigation likely headed to the Supreme Court before Trump was elected:  the Clean Power Plan (CPP) (President Obama’s signature climate change measure), the regulations defining “waters of the...

President-elect Donald Trump has stated repeatedly that one of the goals of his new administration is to get rid of federal regulations. Despite the fact that the new administration has a menu of options to kill final federal regulations the most effective options are likely the most difficult to achieve.

This blog posting uses as examples three of the most important regulations to state and local government—all of which are on the chopping block:  the Clean Power Plan (CPP) (President Obama’s signature climate change measure), the regulations defining “waters of the United States” (WOTUS) (a significant term in the Clean Water Act defining the federal government’s jurisdiction to regulate water), and the Fair Labor Standards Act (FLSA) overtime regulations (extending overtime pay to 4 million workers).

A Texas federal district court issued a nationwide injunction preventing new overtime rules from going into effect. These rules would have made it more likely states and local governments would have had to pay more employees overtime.

Twenty-one states and a number of business organizations sued the Department of Labor. The rules were to go into effect on December 1, 2016.

Twenty-one states are suing the Department of Labor over new overtime rules which make it more likely states will have to pay more employees overtime. They are seeking an injunction which will prevent the new rules from going into effect on December 1, 2016.

Per the Fair Labor Standards Act (FLSA), “white collar” employees do not have to be paid overtime if they work more than 40 hours a week. Per Department of Labor regulations, adopted shortly after the FLSA was adopted in 1938, employees must perform specific duties and earn a certain salary to be exempt from overtime as white collar employees.

On May 23, 2016, the Department of Labor (DOL) issued final rules nearly doubling the previous salary level test for white collar employees from $455 per week, or $23,660 per year to $913 per week, or $47,476 per year.

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