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Employment Law General Counsel and In House Counsel Regulations

Update: Stage Now Set for DOL to Adopt More Modest Salary Level for Overtime Exemptions

In his final ruling, Judge Mazzant clarified that he was not questioning the DOL's authority to adopt a salary level test as part of the overtime exemptions. Rather, Judge Mazzant explained that the Obama-era DOL had gone too far in adopting a salary level so high as to become the "de-facto" test for meeting the overtime exemptions.

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After the September issue of The Corporate Counselor went to press, Texas Federal Judge Amos Mazzant issued a final ruling striking down the Obama-era overtime rule. An extensive discussion of the rule can be found in the January 2017 edition of this newsletter, when I wrote about Judge Mazzant’s previous issuance of a preliminary injunction of the overtime rule, until he could review the case in detail and issue a final ruling. The preliminary injunction halted enforcement of the overtime rule on a nationwide basis. Enforcement of the rule would have more than doubled the minimum salary level that employers would have been required to pay in order for employees to meet the so-called “white-collar” exemptions from overtime pay requirements.

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