Court Injunction Postpones New Federal Overtime Rules

A federal injunction temporarily blocks implementation of the new FLSA minimum salary level for exempt employees. 

On Tuesday, November 22, a U.S. federal court judge issued a nationwide injunction in response to a legal challenge filed against the Department of Labor’s Fair Labor Standards Act (FLSA) “Final Rule,” previously scheduled to become effective on December 1. This injunction temporarily blocks implementation of the new minimum salary level for exempt employees. 

Georgia Tech and the other University System of Georgia (USG) schools have completed the transition of certain employees to non-exempt (or overtime-eligible) status.

Because of the uncertain nature of this situation, the University System of Georgia has provided the following guidance:

  • Georgia Tech’s more than 800 employees converted to non-exempt status (i.e., hourly or overtime-eligible) as a result of the review of current job descriptions will remain in that status.
  • Employees in an exempt role who were slated to receive a salary increase to raise them to the minimum as required by the challenged law will still receive the increase (effective Dec. 1).
  • In rare circumstances, some employees may be converted back into exempt status. These employees will be contacted by Georgia Tech Human Resources (GTHR) in the upcoming months as more is known about the status of the rule change.

As part of the FLSA initiative, GTHR’s examination of job descriptions and conversion of employee statuses was important to better align with federal law and the University System of Georgia’s position classification system. The progress we have made in that area will continue as we explore new ways to better define the work and roles of our people.

Additional information regarding the status of the FLSA Final Rule can be found at www.ohr.gatech.edu/flsa.