A Federal Court Judge granted a preliminary injunction against the Fair Labor and Standards Act (FLSA) overtime expansion rule from taking effect until a final decision in the case is issued. The December 1, 2016, deadline increasing the minimum salary threshold in regards to overtime to properly classified salaried, exempt employees has been postponed. It is unclear what direction this injunction may take at the moment. It is possible that this may not become law, but it is also possible that once it is processed through the courts, it will be effective immediately.
What does this mean for you?
This is still a good time to evaluate your workforce. We continue to recommend that you have:
- Appropriate job classifications
- Accurate job descriptions
- A mechanism to track and report actual hours worked
Your plans to address the potential impacts on December 1 should still be reviewed periodically while this works its way through the courts, and you may find some changes you need to make regardless of the change to the salary thresholds.
What should we expect in the future?
The Conference will continue to monitor this case and update you with information as we receive it.