New OT pay threshold search underway

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Although the Trump administration didn't like its predecessor's new threshold for determining overtime pay eligibility, it apparently is taking steps to raise the cut off point.

The Department of Labor announced on Oct. 30 it will be performing research and undertake “further rulemaking to determine what the salary level should be.”

An estimated 4.2 million workers would have become eligible for overtime under the Obama-era rule. It would have raised the floor for overtime consideration from $23,660 to $47,476.

The DOL announced in early August that it would give up the fight to enact the law in favor of creating its own rule.

Then on Aug. 31, U.S. District Court Judge Amos Mazzant granted summary judgment against the Department of Labor in consolidated cases challenging the near doubling of the OT threshold. The court held that the Department of Labor had overreached its authority.

A DOL update posted Oct. 30 indicated that the department planned to appeal that decision and have the appeal put on hold while it reviews public comments and researches what it considers a more appropriate level.