The 5th U.S. Circuit Court of Appeals has set Tuesday morning, Oct. 3, as the time for oral arguments on the Obama-era overtime rule that was blocked by a federal judge days before it was to take effect this past December.
That rule would’ve doubled the salary threshold for exemption from overtime pay from $455 a week ($23,660 yearly) to $913 weekly ($47,476).
The Trump Department of Labor (DOL) will not defend the Obama salary levels but will argue that setting a salary threshold is allowable under the Fair Labor Standards Act (FLSA). The November 2016 ruling cited the use of a salary threshold as a reason to block the overtime rule, saying the DOL overstepped its legal boundaries in doing so.
The Trump DOL is already seeking public input on establishing a new overtime rule and is hoping to gain the authority to use salary threshold from the New Orleans court, considered the most conservative in the nation.