Employers Breathe Sigh of Relief as Federal Court Puts an End to the Expansion of the FLSA Overtime Rule


Employment Law Monthly - September 2017

By Emre M. Polat

On August 31, 2017, the U.S. District Court for the Eastern District of Texas held that the Department of Labor ("DOL") exceeded its authority in implementing a new rule that doubled the minimum salary requirements under the white-collar exemptions of the federal Fair Labor Standards Act ("FLSA").   

This case is favorable for employers as employers are not required to increase the minimum salary of their employees to meet the salary threshold for overtime exemption under the FLSA. However, it is important to note that the white-collar exemption and all other provisions of the FLSA remain unchanged. 

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