The Lake Houston Area Chamber of Commerce has joined more than 50 Texas business organizations in filing a lawsuit against a new Department of Labor overtime rule, which goes into effect December 1.
Advertisement
Wisconsin and 20 other states are suing the federal government over new rules that will make many more white-collar workers eligible for overtime. The new overtime rule contains a provision to automatically increase the threshold every three years without going through the standard rule-making process.
Almost two dozen states, including Utah, filed a lawsuit against the federal government on Tuesday claiming that a new labor rule, which offers overtime pay to all American workers who earn up to almost $50,000 per year, is unconstitutional.
“Longstanding federal law requires an overtime exemption for “bona fide executive, administrative or professional” employees”, Laxalt said in statement. They double the annual salary threshold that allows companies to deny overtime to almost $47,500, up from $23,660.
The suit complains the Labor Department merely doubled the salary basis in determining who is eligible for overtime rather than considering the type of work performed.
SC is joining 20 other states in challenging new federal overtime rules set to go into effect before the end of the year.
MI is one of 21 states seeking to block the Obama administration’s efforts to make more white-collar workers eligible for overtime pay.
According to the news release, the federal rule would affect about 550 state employees in the executive and judicial branches. Paxton says the rule will more than double the salary threshold for a worker to be entitled to overtime and increase the costs of local governments and private businesses – which in turn could force them to lay off a large number of workers. On Tuesday, Paxton warned the rule “may lead to disastrous consequences for our economy”.
New federal overtime regulations will make more than 4 million US workers eligible for ove…
Perez noted that overtime protections have diminished over the decades, applying to 62% of full-time salaried workers in 1975, and just 7% today.
Advertisement
The Labor and Justice departments didn’t immediately return a request for comment. He also says the rule will force Kentucky and many other state and local governments to substantially increase their employment costs.
