The Department of Labor filed its reply brief last week in the FLSA overtime regulations litigation. The District Court had issued a temporary injunction preventing the implementation of the FLSA overtime regulations on 12/1/16. The Obama Administration had appealed the ruling to the Fifth Circuit Court of Appeals. The new administration had requested additional time to decide how it was going to handle the appeal. Extensions were granted until June 30th.
The brief advises that the Department of Labor will not advocate for the $913 per week salary basis threshold that was included in the regulations. The District Court judge in his opinion questioned whether the Department of Labor had the authority under the FLSA to issue a rule setting any salary test. The Department of Labor has asked the Fifth Circuit to reverse the District Court on this point and rule that it has the authority to set a salary test.
The Labor Department also has sent a request for information to the Office of Management and Budget (OMB). Once approved by OMB, the request for information seeking public comment on several issues concerning the overtime exemptions will be published in the Federal Register and this information could be used to assist in drafting new overtime regulations. When published, IPMA-HR will be submitting a response.