Texas judge blocks Biden administration’s overtime protection rule

Nov. 16 (UPI) — A federal judge in Texas is blocking a rule enacted by President Joe Biden earlier this year that provides overtime pay protection for roughly four million American workers.

The U.S. Department of Labor exceeded its authority when it enacted the rule, U.S. District Court for the Eastern District of Texas Judge Sean Gordon ruled Friday.

In April, the Biden administration announced the rule would take effect July 1 and guarantee salaried employees working over 40 hours in a week would be financially compensated for the extra time.

The rule would have extended to approximately four million American workers, guaranteeing them overtime pay.

Upon taking effect this past summer, the rule raised the minimum salary to make an employee eligible from roughly $35,000 to nearly $44,000.

That number was set to increase to approximately $59,000 next year and would continue to increase every three years, beginning in 2027.

The executive, administrative or professional rule, referred to as EAP, was first contested separately by the State of Texas as well as a group of businesses. Their cases were later amalgamated into a single legal challenge.

“The 2024 Rule impacts millions of employees in every facet of the economy, as well as state and local governments, and will impose billions in costs to employers,” Gordon wrote in his ruling.

“And considering the volume and variety of the trade organizations’ members who are entitled to relief, it would be impractical, if not impossible, to fashion party-tailored relief here.”