Daily Labor Report®

Judge Blocks Overtime Rule in Surprise Decision

Nov. 22, 2016, 10:33 PM

A federal judge Nov.22 barred the Labor Department from implementing its new overtime rule, unexpectedly granting an injunction that deals a severe blow to one of President Barack Obama’s landmark workplace regulations (Nevada v. DOL, E.D. Tex., No. 4:16-cv-00731, motion granted 11/22/16).

The court enjoined the rule nationwide, days before it was scheduled to take effect Dec. 1. Some 4 million workers were expected to become newly eligible for time-and-a-half pay under the rule.

Twenty-one states argued at a hearing Nov. 16 that injunctive relief was warranted because the DOL exceeded its authority in setting such a high...

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