
Trump era EPA exemption reinstated by federal court limiting overtime pay for salaried workers.
On Nov. 15, according to Bloomberg Law, the Department of Labor (DOL) suffered a hit to its new guidelines for overtime pay.
The United States District Court Eastern District of Texas ruled that executive, administrative, and professional (EAP) salaried employees earning above $35,568 will no longer receive federal minimum wage for overtime work.
The amount was rolled back from the current Biden administration threshold of $43,888.
In his ruling, Judge Sean Jordan of the Eastern District of Texas stated that the administration overreached its authority when modifying the rule.
Judge Jordan states that a change in the wage for a salaried exemption does not meet the requirements without adding or modifying the duties of employees.
The ruling “essentially ma[de] an employee’s duties, functions, or tasks irrelevant if the employee’s salary f[ell] below the new minimum salary level,” and unlawfully “ma[de] salary rather than an employee’s duties, the determinative factor for the EAP Exemption,“ Jordan said.
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Source: Black Enterprise