December 5, 2020

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Ruling Postponed on Whether the DOL Exemption Rules will be Enjoined Before December 1, 2016

Since our November 10 Post, Will the DOL Exemption Rules Be Enjoined Before December 1, 2016?, federal District Court Judge Amos L. Mazzant, III heard nearly 3.5 hours of argument today on the Emergency Motion for Preliminary Injunction to stop nationwide implementation of the Department of Labor’s May 16, 2016 Final Rule Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales and Computer Employees.  If not enjoined, this Final Rule will require that, by December 1, 2016, employees be paid a weekly salary of at least $913 (annually, $47,476) to maintain “white collar” exemption from overtime and other federal Fair Labor Standards Act requirements, as long as the employees’ duties satisfy the exemption rules too.

The Court took the matter under advisement, projected that a ruling will be issued Tuesday, November 22, and if the motion is denied, a further hearing will be set on November 28 (the same day a motion for summary judgment, led by the US Chamber of Commerce, is also set in the action).

This really is coming down to the wire for employers who should be prepared to implement changes to comply with the Final Rule if it is not enjoined.

The action is, State of Nevada, et al. v. DOL (USDC, Eastern District of Texas, case No., 4:16-cv-00731-ALM). 

© 2020 Faegre Drinker Biddle & Reath LLP. All Rights Reserved.National Law Review, Volume VI, Number 321
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About this Author

Mark Terman, Business and employment law attorney, Drinker Biddle
Partner

Mark E. Terman is a results-driven litigator whose work extends from restrictive covenants, trade secret, fraud and other business torts and employee misconduct; to wrongful termination, discrimination and sexual harassment, wage & hour, and unfair labor practices matters; and to corporate/shareholder disputes – from case inception to injunction, summary judgment and trial proceedings. His counseling work includes claim prevention, crisis management/mitigation, investigation, M&A, contract/equity/executive compensation, competitive business practices/restrictive...

310-203-4051
Gerald Hathaway, Labor and Employment Lawyer, Drinker Biddle
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Gerald T. Hathaway represents domestic and international corporations of all sizes, including Fortune 500 and Global Fortune 500 companies, in major labor and employment matters. His practice includes advising on the labor and employment aspects of local, national and international corporate transactions and financial restructuring. Jerry’s practice also includes reductions in force, including Worker Adjustment and Retraining Notification Act (WARN) and Older Workers Benefit Protection Act compliance. His clients include private equity funds, major...

(212) 248-3252
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