Join Now

Want news that’s as fresh as your morning coffee? Join our community and stay in the know!

Which labor rule is ‘dead’ and which will go into effect under Trump? Attorneys weigh in.

Date:

Share:

This audio is auto-generated. Please let us know if you have feedback.

Any change in presidential administrations that comes with a shift in political party is bound to lead to a shuffle at federal agencies. During a Wednesday webinar and post-election discussion, Cozen O’Connor attorneys discussed what they expect to happen with some of the biggest rules and regulations on employers’ radar when President-elect Donald Trump takes office. Here are two quick takeaways.

Overtime rule

Perhaps surprisingly for a Republican administration, two of the attorneys predicted the U.S. Department of Labor’s overtime rule — which will raise the minimum annual salary threshold for overtime under the Fair Labor Standards Act to $58,656 on Jan. 1, and automatically every three years starting in July 2027 — will not only remain in effect, but go unchallenged at the federal level.

“Trump’s done it in the past,” said member of the firm David Barron, referring to the first administration’s raising of the threshold in 2019. “I don’t know why he would be opposed to that.” 

“I totally agree,” said Michael Schmidt, vice chair of the law firm’s Labor and Employment Department.

Noncompete ban

The Federal Trade Commission is currently pursuing an appeal of a Texas district court’s decision to strike down its ban on noncompete agreements in employment contracts. It’s the second such appeal for the FTC, which also appealed a Florida district court’s decision to enjoin the ban in September.

Moving forward, the rule is likely “dead in the water,” Michele Ballard Miller, chair of Cozen O’Connor’s West Coast Labor and Employment practice, said — except at the state level. “California hasn’t recognized noncompetes in years,” she noted.

Schmidt and Barron agreed. 

“They’ll withdraw that appeal, and that will be it,” Barron predicted. “It’ll die a quiet death.”

Unmatched Baby Essentials

baby

━ more like this

Air Force delays tech sergeant tests to remove DEI from study guides

The Air Force is pushing technical sergeant promotion testing back two weeks while it removes content related to diversity, equity and inclusion programs from...

China is rehearsing for war, Indo-Pacific commander says

WAIKIKI, Hawaii—The Chinese government is “on a dangerous course” and its military’s “aggressive maneuvers around Taiwan right now are not exercises, as they call...

Education nominee McMahon says she supports calls to dismantle the agency but that funding wouldn’t be affected

Linda McMahon said she stands firmly behind President Donald Trump’s calls to gut the U.S. Department of Education at her confirmation hearing to lead...

This Medal of Honor recipient became an ace pilot in a day

“Ace in a day” is a rare distinction among fighter pilots. Among the earliest American multi-aces, Jim Swett was credited with seven aerial victories...

Corpsman receives medal for saving Marine from heat stroke

A U.S. Navy corpsman received a military decoration for helping rescue a Marine who became dangerously ill from high temperatures, according to the Marine...

LEAVE A REPLY

Please enter your comment!
Please enter your name here