Federal Judge Blocks Overtime Rule

Judge rules Labor Department's new overtime rule is unlawful and grants nationwide injunction

Reuters

U.S. District Judge Amos Mazzant, in Sherman, Texas, last Tuesday blocked the Obama administration and the Labor Departments new rule extending mandatory overtime pay that was scheduled to take effect December 1. Judge Mazzant agreed the rule is unlawful and granted a nationwide inunction.

According to Mazzant's 20-page ruling, the rule “creates essentially a de facto salary-only test.” Mazzant ruled the federal law governing overtime does not allow the Labor Department to decide which workers are eligible based on salary levels alone. 

The Labor Department remains confident that the entire rule is legal and is currently considering its options.

(more on the injunction against the new overtime rule...)

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