U.S. Division of Justice attorneys requested the fifth U.S. Circuit Court docket of Appeals to briefly droop the Labor Division’s appeals in two circumstances difficult its 2024 Honest Labor Requirements Act extra time rule, in keeping with an April 24 court docket submitting.
Texas district court docket judges twice blocked DOL’s remaining rule, which elevated the minimal wage threshold for extra time pay eligibility in two steps. First, a November 2024 choice sided with plaintiffs together with the state of Texas and enjoined the rule nationwide. A second judgment put aside and vacated the rule in response to a lawsuit by advertising and marketing company Flint Avenue.
The federal government requested that the fifth Circuit place its appeals in abeyance “pending the company’s reconsideration of the rule.” It stated counsel for the appellees in each circumstances didn’t oppose its request.
The Biden administration’s effort to increase extra time eligibility to tens of millions of U.S. employees would have pushed the annual minimal threshold underneath the FLSA to $58,656 in 2025 with computerized, extra will increase each three years starting in July 2027. An preliminary enhance to $43,888 per yr took impact earlier than Texas federal judges blocked it together with the rule’s different parts.
The whole coverage is virtually sure to be erased by the second Trump administration, in keeping with attorneys who beforehand spoke to HR Dive. Previous to the Biden-era rule, DOL had final elevated the overtime-pay threshold throughout Trump’s first administration in 2019.
