In what is likely to be a nail-biter for restaurant operators across the country, a U.S. District Court judge said Wednesday he will decide next week whether to put a hold on new overtime rules from going effect next month.
The ruling will be on a preliminary injunction related to a lawsuit filed in September by 21 states challenging the Department of Labor’s new overtime rules. Those regulations will more than double the salary threshold of eligibility for overtime pay, and they are set to go into effect on Dec. 1.
After hearing arguments in the State of Nevada et al. v. U.S. Department of Labor et al., Judge Amos Mazzant of the U.S. District Court for the Eastern District of Texas, said Wednesday that he hoped to rule on Nov. 22 whether to stay implementation of the overtime regulations until after the lawsuit is decided.
If the motion for a stay is denied, however, a hearing on the lawsuit is scheduled for Nov. 28, just three days before the Dec. 1 implementation deadline. The hearing could also have an impact on how or whether the overtime rules go into effect.
Source: Nation's Restaurant News