Texas With 20 Other States Sues to Block U.S. Overtime Rules

  • States allege Obama administration usurped role of Congress
  • Labor Department’s new threshold set to take effect Dec. 1
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Texas and 20 other states sued the Obama administration to block overtime rules that business groupsBloomberg Terminal say will boost employment costs and may force layoffs by effectively setting a federal minimum salary for white-collar workers.

Full-time executive, administrative and professional workers making less than $47,892 a year will be entitled to overtime pay starting Dec. 1, according to a complaint filed Tuesday in federal court in Sherman, Texas. This pay rate “nearly doubles” the previous salary that triggered federal overtime pay protections for public or private employees working more than 40 hours a week, the states said.