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Update on the Overtime Rule

This writer reported recently that, on November 22, 2016, the U.S. District Court for the Eastern District of Texas issued a nationwide injunction halting the planned December 1, 2016 effective date of the U.S. Department of Labor’s Overtime Rule.

The Department of Labor has now appealed the nationwide preliminary injunction. The U.S. Court of Appeals for the Fifth Circuit will hear the appeal on an expedited basis. Briefing of the issue will be complete by January 31, 2017 – 11 days after the inauguration of President Donald Trump.

Separately, Congress may revoke the Overtime Rule under the Congressional Review Act. Congress adjourned on December 9, 2016, meaning it had less than 60 legislative days after the Rule was made final. Thus, under the Congressional Review Act, Congress will be given another 45 days in the new legislative session to vote to disapprove the Rule.

If Congress passes a resolution disapproving the final Overtime Rule within the 45-day period, and President Trump then signs the resolution, the Overtime Rule is dead. Congress could also pass a separate law nullifying the Overtime Rule.

Additionally, the Trump administration could withdraw the appeal of the preliminary injunction. President Elect Trump’s Secretary of Labor nominee, Andrew Puzder, is almost certainly opposed to the final Overtime Rule.

Stay tuned! There are many possibilities to stop the Department of Labor’s Overtime Rule once and for all.

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