Tag Archives: DOL

Federal Judge Invalidates Obama-Era Department of Labor Overtime Rule

On August 31, 2017, a federal district court judge in Texas struck down the Department of Labor’s Obama-era controversial 2016 rule that raised the minimum salary threshold required to qualify for the Fair Labor Standards Act’s “white collar” exemption. Under the proposed regulations, the minimum salary threshold was raised to just over $47,000 per year, and increased the overtime eligibility threshold for highly compensated workers from $100,000 to about $134,000.… Continue Reading

Overtime Rule Update: DOL Defends Power to Set Salary Threshold

The U.S. Department of Labor continues to work towards dismantling the Obama administration’s overtime rule, saying that it intends to revise the controversial rule to lower the salary threshold under the Fair Labor Standards Act’s white-collar exemptions. The Obama administration’s rule sought to more than double the current salary requirement of $23,660 a year for white-collar exemptions. Though the rule was estimated to make 4 million additional workers eligible for overtime pay, it was also expected to cause employers significant financial and regulatory burdens.… Continue Reading

Persuader Rule to be the Next Obama Era Regulation on the Chopping Block

On June 12, 2017, the Office of Labor Management Standards of the Department of Labor (DOL) published a Notice of Proposed Rulemaking that proposes to rescind the controversial “persuader rule” implemented by the DOL under the Obama administration. This rule sought to require disclosure of advice to employers from consultants and attorneys who engage in activities designed to persuade employees not to unionize.… Continue Reading

One Solution to Unaffordable Higher Education — Trump’s View on Apprenticeship Programs

With an eye towards “increasingly unaffordable” higher education, President Trump signed an Executive Order on June 15, 2017, seeking to “provide more affordable pathways to secure, high paying jobs by promoting apprenticeships and effective workforce development programs, while easing the regulatory burden on such programs and reducing or eliminating taxpayer support for ineffective workforce development programs.”… Continue Reading

Overtime Rule Update: DOL To File Request for Information In Two to Three Weeks

One of the most controversial regulatory actions from the US Department of Labor during the Obama administration was the DOL’s regulation significantly increasing the salary level under the Fair Labor Standards Act’s white-collar exemptions. The regulation sought to more than double the current salary requirement of $23,660 per year, and it included an automatic updating requirement that would have accelerated future salary level increases at a rate well above the rate of inflation. … Continue Reading

DOL Overtime Rule Preliminarily Enjoined; No Employer Action Required By December 1st

On November 22, a federal judge in the Eastern District of Texas preliminarily enjoined the Department of Labor’s final overtime rule, which would have expanded overtime eligibility to executive, administrative, and professional employees making less than $47,476 per year, who were previously exempt from the Fair Labor Standards Act’s requirements under its white collar exemption. The final rule was scheduled to go into effect on December 1, 2016.… Continue Reading

Federal Judge in Texas Appears Poised to Grant Injunction Putting Labor Department’s Overtime Rule On Hold

On November 16, 2016, Judge Amos L. Mazzant, heard more than three hours of oral argument from a group of 21 States (“State Plaintiffs”) challenging the Department of Labor’s new overtime rule. Following the hearing, the motion for a preliminary injunction of the rule was taken under advisement and a ruling is forthcoming on Tuesday, November 22,2016. Judge Mazzant’s pointed criticism of the rule during argument suggests employers may have reason to be optimistic.… Continue Reading

DOL Proposed Rulemaking – Paid Leave for Employees of Federal Contractors

The United States Department of Labor has announced a Notice of Proposed Rulemaking to implement Executive Order 13706, which requires federal government contractors to provide employees with up to 7 days of paid sick leave annually. As a result, the DOL estimates that employers will be compelled to provide additional paid leave to 828,000 employees, including 437,000 employees who do not currently receive any paid sick leave.… Continue Reading

Ninth Circuit Approves DOL Regulation Expanding Tip-Pooling Rules To All Employers

Under the Fair Labor Standards Act (FLSA), employers who use a tip credit to satisfy their minimum wage obligations for tipped employees must follow certain rules related to those tips. One of those rules relates to the use of tip pools – i.e., pooling of tips received by multiple tipped employees and then dividing the total among the pool participants based on a specified formula. … Continue Reading

Supreme Court Denies Review of Second Circuit Decision Compelling Court or DOL Approval of FLSA Settlements

The United States Supreme Court has denied a restaurant manager’s petition seeking review of whether parties may stipulate to the dismissal with prejudice of a lawsuit alleging violations of the Fair Labor Standards Act (“FLSA”), or whether judicial or Department of Labor (“DOL”) approval is a prerequisite to such a dismissal, as the Second Circuit held in his case, Cheeks v. Freeport Pancake House, Inc. Having declined the petition for writ of certiorari, FLSA lawsuits will remain more difficult to resolve for employers in New York, Connecticut, and Vermont. … Continue Reading

DOL Says Joint Employment Under FLSA and MSPA Should Be “As Broad As Possible”

On January 20, 2016, the administrator of the Department of Labor’s Wage and Hour Division (WHD), David Weil, issued an “Administrator’s Interpretation” (AI) regarding the agency’s interpretation of joint employment under the Fair Labor Standards Act (FLSA) and the Migrant and Seasonal Agricultural Worker Protection Act (MSPA). … Continue Reading

D.C. Circuit Upholds DOL Rule Barring Third-Party Employers From Overtime, Minimum Wage Exemptions for Home Care Workers

On Friday, August 21, 2015, the U.S. Court of Appeals for the District of Columbia Circuit upheld the U.S. Department of Labor’s (“DOL”) 2013 rule extending FLSA overtime and minimum wage protections to employees of home health care agencies who provide “companionship services” or live-in domestic care.… Continue Reading

Second Circuit Rejects the DOL’s Rigid Intern Test and Adopts a Balancing Test

In a closely watched case, Glatt v. Fox Searchlight Pictures, Inc. (decided July 2, 2015), the Second Circuit rejected the Department of Labor's ("DOL") intern test under the Fair Labor Standards Act ("FLSA"), and adopted a balancing test that focuses on whether the employee or the employer is the primary beneficiary of the relationship ("primary beneficiary test").… Continue Reading

The Changing Landscape of Same Sex Marriage Law

As the national debate regarding rights for same sex couples continues, more and more states are granting marital rights to members of the same sex. Although we are only in the second quarter of 2015, five states have either passed legislation or have high court rulings that expand the rights of same sex couples.… Continue Reading

The United States Supreme Court’s Decision in Perez v. Mortgage Bankers Association and its Potential Impacts on Federal Agencies’ Rulemaking Authority

Federal agencies need not go through the formal and drawn-out "notice-and-comment" process when altering an interpretation of a regulation. In a unanimous decision, the Supreme Court in Perez v. Mortgage Bankers Association stated that the Administrative Procedure Act (the "APA") does not mandate notice-and-comment rulemaking for interpretive rules.… Continue Reading
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