Court Enjoins the Department of Labor From Enforcing New Overtime Rules
The U.S. District Court for the Eastern Division of Texas has enjoined the Department of Labor from enforcing new overtime rules that were to go into effect on December 1, 2016. At issue was whether or not employees engaged in a bona fide administrative, executive or professional capacity had to be paid overtime if their salary was less than $913/month. The current law requires overtime to be paid if their salary is less than $455/week. The Court stated that the Department of Labor exceeded its authority to change the salary requirements to determine overtime pay, and that if Congress had intended to grant the Department of Labor this authority it would have done so explicitly.
It should be noted that the current decision is an injunction that applies to all 50 states, and while the Department may appeal, currently the new Rule is not in effect, and architects can proceed in payment and labor practices as they have in the past.
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