A federal judge in Texas recently struck down the controversial Obama-era overtime rule that would have more than doubled the minimum salary level required to exempt executive, administrative and professional employees from eligibility for overtime.
Previously, a federal judge had blocked the rule.
In his ruling striking down the rule, the judge said, “the Department does not have the authority to use a salary-level test that will effectively eliminate the duties test.”
Under President Trump, the Department of Labor said that while it has the authority to set a salary threshold, the department will not to advocate for the specific salary level ($913 per week) established by the Obama administration and instead “intends to undertake further rulemaking to determine what the salary level should be.”
DOL sought public comments about the future of the rule in July. Although the agency did not say explicitly that it wanted to propose and adopt a lower-than-$913-per-workweek threshold, there is a possibility that a more moderate salary level may be issued at some point.