Dive Brief:
- A federal appeals court decided in favor of expedited review of the FLSA overtime rule injunction as requested by the DOL. Final briefs are now slated for January 31, with oral arguments potentially slated for around Feb. 7, HR Daily Advisor notes.
- However, this puts the overtime rule appeal decision after President-elect Donald Trump's inauguration, which could spell the end of the rule anyway. Experts note that Trump could drop the appeal once he assumes office, HR Daily Advisor reports.
- If dropped, the decision would go back to a lower court. Judge Amos Mazzant, who made the original injunction decision, wrote strongly about the "unlawful" nature of the rule, meaning it could reach permanent injunction if returned.
Dive Insight:
The FLSA overtime rule drama continues. Until Trump officially announces what he will do one way or another, the rule will remain in limbo. But considering his pick for DOL secretary, it's unlikely the rule will survive.
For employers, that means compliance will continue to be troublesome. Experts so far suggest that larger companies that have already made changes should either keep current changes or heavily review potential changes they could make. Keep in mind possible hits to morale if anything is taken away. If change has not yet gone into effect, holding steady may be an option as long as it is communicated clearly to employees.
