Federal Court Strikes Down U.S. DOL Overtime Exemptions Rule Nationwide

On November 15, 2024, a Texas federal court struck down a U.S. Department of Labor (DOL) rule that raised the minimum salary required to be paid to most employees classified as exempt from overtime and minimum wage requirements under the Fair Labor Standards Act (FLSA).

The court’s decision blocks the minimum compensation increases that were scheduled to go into effect on January 1, 2025, and invalidates the previously required July 1, 2024 increases nationwide. 

Effective immediately, the salary level test amount for executive, administrative and professional employees returns to $684 per week ($35,568 annually) and the required amount to be paid to highly compensated employees returns to $107,432 annually (including at least $684 per week paid on a salary or fee basis). 

Review the details here: https://www.adp.com/spark/articles/2024/11/federal-court-strikes-down-us-dol-overtime-exemptions-rule-nationwide.aspx