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Business and Policy Areas
Business and Policy Areas
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Department of Labor Seeks New Public Comments on Overtime Rule

August 10, 2017

With the legal case regarding the currently enjoined Obama-era overtime rule still pending, the Department of Labor (DOL) has made clear its intentions to eventually make substantive changes to the rule in a new public Request for Information.

The rule, widely expected to be modified under the Trump administration, has been in limbo since a legal injunction was issued against it just prior to its scheduled implementation on December 1, 2016. Further action on the rule stalled for months as the Trump administration dealt with unexpected difficulties in choosing and getting a new labor secretary confirmed.

Now-confirmed Labor Secretary Alexander Acosta has made multiple comments indicating that he believes the rule as passed by the Obama administration needs revision, primarily regarding the salary threshold for employees eligible for overtime pay. The newly issued request appears to both confirm this and expand potential areas of revision by asking the public to comment on “whether the standard salary level set in [the] rule effectively identifies employees who may be exempt, whether a different salary level would more appropriately identify such employees, the basis for setting a different salary level, and why a different salary level would be more appropriate or effective.”    

While the DOL assured the 5th Circuit Court of Appeals responsible for deciding the rule’s legal case that it would hold off on new rulemaking until the court issues a decision, it appears the department is taking all necessary steps in order to move quickly through a new rulemaking process once the decision is handed down.

Contact

Megan Schneider
Assistant Director, Federal Affairs
202.861.2547
E-mail