• Henry Seaton

States sue to block new overtime exemption rules

Twenty-one states on September 20 filed suit in the U.S. District Court in Eastern Texas to block implementation of new U.S. Department of Labor regulations that would expand the pool of workers that must be afforded overtime pay. The rule currently is to take effect December 1.

Under DOL regulations, “white collar” employees are exempt from overtime pay only if they meet both a “duties” test and a “salary” test. The new rule raises the salary threshold for an exemption to $47,476 based on an index that will automatically update every three years.

For a copy of the overtime rule, visit https://federalregister.gov/a/2016-11754. For more on the motor carrier employee exemption from the FLSA, visit http://bit.ly/29hXN0i.

Avoid legal pitfalls

Rules of the Road offers practical help on avoiding legal pitfalls in working with customers, independent contractors, insurers, factoring companies, etc.

Many serious legal risks will go unnoticed unless you are watching for them. Don't take chances.

 Although successful food haulers already employ the common sense steps required in FDA's new transportation rule, declaring your compliance can help you stay competitive for spot-market freight.