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New FLSA Regulations Prevented from Taking Effect

Author: Michael J. Smoron
November 29, 2016

Recently, a federal circuit court judge in Texas issued an order staying the nationwide implementation of certain Fair Labor Standards Act (FLSA) regulations. If the preliminary injunctive relief had not been granted, employers would have had to pay overtime wages to salaried employees who earn less than $47,892 annually and work more than 40 hours a week.

As it currently stands, employers only have to pay overtime wages to employees earning an annual salary of less than $23,660 ($455 per week). Without the stay, all salaried employees making less than $47,892 ($921 per week) would have been entitled to overtime pay as of December 1, 2016.

We will continue to provide updates on the status of these FLSA regulations as they move through the judicial process.