Earlier this year, the U.S. Department of Labor (DOL) approved a new rule for overtime regulations, which was set to kick in on Thursday, December 1, 2016. This new regulation increased the salary threshold for those employees earning overtime (time-and-a-half pay for more than 40 hour a week) to $47,476.

Now, however, it seems this regulation has been put on hold. On Tuesday, November 22, 2016, a Federal judge in Texas granted a preliminary injunction to temporarily block the DOL from implementing and enforcing its Final Overtime Rule nationally, pending further order by the court.

As a result of this emergency preliminary injunction, employers currently DO NOT need to comply by the original December 1, 2016 effective date. As this receives further review by the court, we will keep you up to date on what effect this may have on you and your business.

At this time there is no way of knowing if or when the status of this regulation will change, but please feel free to contact your Somerset advisor for more information, or get in touch with us at .