Late in the afternoon on November 22, 2012, a federal judge in Texas entered a nationwide injunction prohibiting the implementation of the Department of Labor’s new regulation increasing the salary basis test for certain exempt employees. As many employers are aware, the DOL announced this new rule in May of 2016 with an implementation date of December 1, 2016. This new rule would require exempt employees classified under the executive, administrative or professional exemptions to make a weekly salary of $912, as opposed to the prior requirement of $455 per week.
The ruling from the Texas judge places a temporary halt on the implementation of the DOL’s rule. Nonetheless, the DOL certainly will file an appeal and this issue is likely far from settled. As always, Clark Partington’s employment law team will keep you advised of the continuing developments with this issue. If you have any specific questions, feel free to contact Daniel Harrell at 850-208-7033 or Jeremy Branning at 850-436-6470.
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