Not yet a Member?
HR Magazine is highlighting the next generation of HR leaders.
Is your employee handbook ready for the New Year? With SHRM’s Employee Handbook Builder get peace of mind that your handbook is up-to-date.
Get the HR education you need without travel expenses or time out of the office.
Join us in Chicago for the latest trends and technology in talent management, and what to expect in the future.
A Trump administration overtime rule change may borrow from these efforts
The ruling by a federal district court judge in Texas that
placed a nationwide injunction on the Department of Labor's (DOL's) overtime rule revision under the Fair Labor Standards Act (FLSA), halting it from taking effect on Dec. 1, has
casts doubt on whether the revisions will go forward in their current form.
The Justice Department
appealed the injunction on Dec. 1, but many believe the Trump administration is unlikely to pursue the appeal.
For more overtime compliance news, tips and tools, check out the SHRM resources provided below:
It's also uncertain what, if anything, will happen with legislation introduced in Congress to block—or at least slow down—the revised rule's controversial doubling of the salary threshold for exempt employees from $23,660 to $47,476.
employees covered by the Fair Labor Standards Act must receive at least time and one-half their regular pay rate for all hours work over 40 in a workweek.
Online's Allen Smith
previously reported, a flurry of bills to delay or phase in the final overtime rule are awaiting congressional action. With implementation of the DOL rule now halted, these congressional alternatives are getting a second look for signs of what the Trump DOL might proposed once it's in place:
[SHRM members-only toolkit: Determining Overtime Eligibility in the United States]
A New Game
In the event that the DOL's overtime rule remains blocked, as many now believe is likely, the incoming Trump administration could introduce its own overtime rule that is less burdensome for employers and with a less-steep increase in the exempt-status salary threshold.
Trump has said that he
favored a small business exemption from the proposed higher salary threshold under the new overtime rule, but that was before the injunction was issued. Now, instead of tweaking Obama's overtime rule, the Trump administration's DOL
may chart its own course—perhaps to be inspired by some of the alternative approaches outlined in the bills before Congress.
SHRM Online Article:
Trump Faces Choice on Overtime Rule Appeal,
SHRM Online Employment Law, December 2016
Democrats Pledge a Fight to Restore Overtime Rule, SHRM Online Compensation, December 2016
Was this article useful? SHRM offers thousands of tools, templates and other exclusive member benefits, including compliance updates, sample policies, HR expert advice, education discounts, a growing online member community and much more. Join/Renew Now and let SHRM help you work smarter.
You have successfully saved this page as a bookmark.
Please confirm that you want to proceed with deleting bookmark.
You have successfully removed bookmark.
Please log in as a SHRM member before saving bookmarks.
Your session has expired. Please log in again before saving bookmarks.
Please purchase a SHRM membership before saving bookmarks.
An error has occurred
Recommended for you
Join SHRM's exclusive peer-to-peer social network
SHRM’s HR Vendor Directory contains over 3,200 companies