This week (12/1/16), a new nationwide rule on overtime pay was supposed to take effect. But last week, in response to a legal challenge, a federal judge in Texas issued a preliminary injunction blocking the change. The Obama administration sought to raise the salary cap for workers eligible for overtime pay to $47,500 a year; about double the current cap. The rule would affect millions of workers, requiring employers to pay them time-and-a-half for every hour exceeding 40 hours in a given week. The worst part is many companies have already prepared for the change.

The injunction will likely push President Obama’s executive order past the 1/20/16 inauguration which is when he’s out of office. It’s unlikely President-Elect Trump will agree to the same executive order.

What does this all mean for you, the small business owner?
I’m always hesitant to predict what will happen in the future, but at the very least, this new law is on-hold for the time being. When things become more clear, I will be happy to update you further.

In the meantime, if you have any questions regarding anything specific to your situation – please feel free to contact my office at (315) 258-8780 or Kim@asterfg.com