NRF supports injunction blocking new overtime rule

A federal judge in Texas issued a preliminary injunction blocking an Obama administration rule that would have allowed more employees to qualify for overtime pay by raising the salary limit to $47,476 from $23,660. The new regulations were set to take effect on Dec. 1.

 

The Labor Department said it “strongly disagreed” with the decision and was “considering all of our legal options.” 

      

The ruling, however, was hailed by business groups, including the National Retail Federation, who argued the new rules would be costly and result in fewer hours for employees.

 

“There’s no question that this decision changes a number of different points of leverage over the future of the rule,” David French, senior VP for government relations at the NRF, told the New York Times.

 

French added that his group and many other business organizations were open to some increase in the limit.

 

“We’re 12 years past the last update,” he said in the Times report.

 

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