A Texas Federal Court on November 15 struck down the United States Department of Labor (DOL) new rule raising the minimum salary paid for most employees classified as exempt from overtime and minimum wage requirements under the Fair Labor Standards ACT (FLSA), scheduled to take effect on January 1, 2025.
“If the Biden Administration opts not to seek an Appeals Court ruling,” stated John R. Quigley, ECCI’s President and CEO since 1991, “I do not expect that a Trump Administration-led Labor Department will do so or propose new standards.”
The salary level test amount for executive, administration and professional employees will return to $35,568 annually ($684 per week) instead of $43,888 annually ($844 per week) effective last July 1. On January 1, 2025, the amount was scheduled to increase to $58,656 annually ($1,128 per week).
The required amount paid to Highly Compensated Employees (HCEs) returns to $107,432, including a salary or fee paid at $35,568 annually ($684 per week), from $132,964 annually effective last July 1 and $151,164 scheduled on January 1, 2025.