A federal judge issues an injunction for president Obama’s new overtime law.
This means the more than four million workers who would have been affected, will not be eligible for overtime pay if they make less than 47,476 dollars.
A federal judge in east Texas issued the injunction, effectively blocking the law, that would have taken effect on December first.
The law would have made salaried employees who earn less than 47,476 dollars a year eligible for overtime pay.
Twenty one states and a coalition of business groups, including the U.S. Chamber of Commerce, sued the government in September saying the huge increase in the salary threshold was arbitrary.
The judge agrees saying the rule is unlawful and granted the nationwide injunction.
“This is an unfortunate time, right before Thanksgiving. The rule was going to come into effect and be in effect at the beginning of December for a lot of employers so, there’s probably going to be a lot of action on a lot of people’s part, not necessarily in the corporate world, but in the legal world in trying to figure this out in the next few days because of the immense ramifications of it,” said Tommy Strelka, Roanoke Attorney.
Strelka says the Department of Labor could appeal the injunction in the next couple of days or weeks.