SIOUX FALLS, SD (KELO-AM) The new Fair Labor Standards Act rule introduced by the Obama administration set to take effect Thursday was halted on Tuesday by U.S. District Judge Amos Mazzant III. The rule would have increased the overtime threshold from $23,660 to $47,476 entitling 4 million workers to overtime pay.
District Judge Mazzant ruled that in raising the minimum salary level for exempt workers, the Department “exceeds its delegated authority and ignores Congress’s intent such that it supplants the duties test.”
Chris Opfer, Tyrone Richardson, and Ben Penn at the Daily Labor Report said, “The decision seems to mean that it’s up to lawmakers in Congress to amend the Fair Labor Standards Act if they want to raise the salary threshold for automatic overtime eligibility from the current level.
The Department of Labor issued a statement shortly after the injunction, saying:
"The Department strongly disagrees with the decision by the court, which has the effect of delaying a fair day’s pay for a long day’s work for millions of hardworking Americans. The Department’s Overtime Final Rule is the result of a comprehensive, inclusive rule-making process, and we remain confident in the legality of all aspects of the rule. We are currently considering all of our legal options."
But this all may be a moot point when President-elect Donald Trump's administration takes charge in January. They are expected to publish a new regulation all together.