In Focus: Long-Term Fate of the Overtime Rule Cloudy

By Allen Smith, J.D. Nov 9, 2016

[Editor's note: A federal district court has granted a preliminary injunction blocking the overtime rule from taking effect Dec. 1.]

With Donald Trump's election comes uncertainty about the long-term prospects for the overtime rule. Short-term, it takes effect soon. But will he put the wheels into motion to limit its application?

Trump Favors Small-Business Exemption from Rule

President-elect Donald Trump told a news outlet in a brief interview Aug. 12 that he favors a small-business exemption from the overtime rule, which nevertheless still takes effect Dec. 1.

(SHRM Online)

Many Proposals to Delay or Phase in Overtime Rule

Congress already has numerous proposals to delay or phase in the overtime rule. While President Barack Obama would likely veto them, if any reached his desk, Trump might be more receptive to them.

(SHRM Online)

Court Challenges to Rule

States and business groups are challenging the overtime rule, saying that its automatic triennial increase is unlawful and the Department of Labor raised the exempt salary threshold too high.

(SHRM Online)

How to Prepare for the New Federal Overtime Rule

For now, the overtime rule remains in place with an effective date of Dec. 1. So, it's time for employers to prepare.

(SHRM Online)

Questions About Overtime Rule Remain

Many questions about the overtime rule remain, including whether: a part-time employee needs to meet the salary threshold, employees with the same job title and job description with varying years of experience may be classified differently, and employers have to track hours for nonexempt and exempt employees.

(SHRM Online)

SHRM Resource Page on the Overtime Rule

See SHRM's complete news coverage, resources and tools to prepare for implementation of the overtime rule on Dec. 1.

(SHRM Online)

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