Obama administration appealing OT injunction

12/06/16 at 02:07 PM | Published Under Job Openings by Will Temby


The Justice Department is pushing forward in its drive to get new overtime rules put into place as soon as it can.

DOJ lawyers filed an appeal of an injunction that prevented the rule from going into effect on Dec. 1, as planned. 

The injunction, issued by a federal court judge, came in response to a suit challenging the rule by 21 states, led by Texas and Nevada.

Judge Amos Mazzant of the U.S District Court for the Eastern District of Texas said the Department of Labor had exceeded its authority by raising the salary threshold for a worker to be exempt from mandatory overtime pay from $23,660 to $47,476.

The ruling suggested that, under federal overtime laws, the Labor Department is only able to determine overtime eligibility based on job duties, not salary.  

If the legal battle drags on, it is unlikely that the incoming Trump administration will continue fighting on behalf of the rule. 

In the one instance in which the president-elect commented on the issue during the campaign, he said that he would like to see an exemption from the rule for small businesses.

If Trump were to reverse course, it would be a great disappointment to the Republican attorneys general who sued. In a statement following the announcement of the injunction, Texas Attorney General Ken Paxton, who led the suit, said that the new rule “hurts American workers."

Congressional Republicans also denounced the rule when the Obama administration announced the final version in May. House Speaker Paul Ryan called it “an absolute disaster.”

 

About the Author

Will-temby Will Temby

Will has enjoyed a 20-year career in leadership positions in the hospitality and travel industry throughout the U.S. with the Hyatt, Sheraton, Hilton, Renaissance and Steamboat Ski and Resort corporations. Will received a Bachelor of Science degree from the University of Massachusetts at Amherst. From 2000-2007, he served as President and CEO of the Greater Colorado Springs Chamber of Commerce. He also served as Vice President-Special Projects for the University of Colorado Foundation from 2007 to 2009. Will is a past Chair of the Board of Directors of the National Homeland Defense Foundation and former member of the United States Chamber of Commerce Committee of 100. He is married to Nan, has five wonderful children, and enjoys coaching, traveling, hiking, golfing and skiing.

staffing service industry blog

News and Latest Events 
 
Economist pegs 2017 construction growth at 5 percent

The 2017 Dodge Construction Outlook sees total U.S. construction starts for 2017 advancing 5 percent to $713 billion, following increases of 11 percent in 2015 and an estimated 1 percent this year. Read more arrow

Robust jobs report eases worry over economic growth

The U.S. labor market in July capped off the best two-month stretch of hiring so far this year, a sign of strength for an economy that has been showing mixed growth signals in recent months. Read more arrow

U.S. growth and employment data tell different stories

Measured by traditional yardsticks for growth, like gross domestic product, the American economy definitely looks weak. View it through the prism of hiring and employment, however, and the economy seems surprisingly strong. Read more arrow

Labor Department clarifies employment guidelines 

The Labor Department has waded deeper into the contentious issue of joint employment, seeking to clarify who is accountable for violations of employment laws when two different entities, like a manufacturer and a staffing agency, both have ties to the same worker. Read more arrow

 
Prepare for the great moderation in U.S. job growth

An increasing number of Wall Street economists and those inside the Federal Reserve are concluding that job growth is bound to shift into a lower gear as the aging population drags on the amount of available labor. Read more arrow


Weakness and strength: 7 snapshots of the U.S. job market

Employers added a meager 142,000 jobs in September, the government said Friday. And the average job gain for each of the past three months — 167,000 — is well below the 231,000 average for the previous three. Read more arrow

Housing, construction may be able to improve U.S. jobs picture 

Even though Friday’s lackluster U.S. jobs report proved a disappointment, the growth in construction and housing jobs might be able to pull the U.S. economy through this rough patch. Read more arrow

Kansas employment stats create muddled picture

The data on employment in Topeka, Wichita and Kansas are behaving in puzzling ways, making it unclear whether their employment pictures are getting better or worse, according to an economist at Wichita State University. Read more arrow

NLRB will let more workers bargain with their employer’s employer

The decision could have widespread implications for subcontracting, franchising, and temporary staffing agencies that have become increasingly prevalent in today's "fissured" economy. Read more arrow 

 
Should Americans work more? 

While the average American workweek is already longer than in most high-income countries, the Irish and the South Koreans show it’s possible for an advanced country’s workers to put in more hours than we do. Read more arrow 

Labor Department expected to make millions more eligible for OT

Millions of Americans who work in excess of 40 hours a week will qualify for overtime pay under a proposed Labor Department rule. Read more arrow

 
Nailed it: Construction employment helps fuel economy

April was the best month for construction employment since January 2014, U.S. Labor Department figures showed — and not just for job creation. Unemployment among construction workers fell to its lowest level since 2006. Read more arrow

Despite hiring efforts, veterans face employment obstacles and civilian disconnect

A new report says that vets have trouble finding and keeping jobs and that civilian employers struggle to understand them. Read more arrow

 
Apartment construction a booming business nationwide

According to U.S. Census Bureau figures, apartment vacancies nationwide hit their lowest point in two decades in the last quarter of 2014: 4.8 percent. The low vacancy rate has led to sky high rents and an explosion of apartment construction that so far cannot keep pace with demand. Read more arrow


Trade plan hopes to grow Wichita exports by more than $1 billion

The Wichita-South Central Kansas Regional Export Plan aims to raise Wichita area exports by $1.1 billion over five years. Such a boost in sales would translate into roughly 6,000 more jobs, according to federal estimates. Read more arrow

The worst mistakes job seekers are still making

In today’s job market, applicants have enough challenges without worrying they’ve made a wrong move bad enough to cost them the position. There are all kinds of theories out there about which blunders are the absolute worst. Read more arrow

Companies face new rules on labor practices

President Obama will sign an executive order that could make it harder for companies that violate wage, labor and anti-discrimination laws to win federal contracts. Read more arrow