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Lawsuit filed against new minimum wage for white-collar workers

Photo of Steven Snyder

Do you recall that on December 1st the minimum salary for exempt employees is going to double? The current minimum is $23,660. As of December 1st, you must pay at least $47,476 to your exempt employees. If you cannot afford to do that, you will need to convert those workers into hourly employees, track their hours, and pay overtime when required.

The U.S. Department of Labor's new rule has pleased many underpaid store managers but it has employers crying for relief. This has prompted a flurry of lawsuits. On September 20th, a group of 21 states filed a lawsuit challenging the DOL's rule that imposes the new minimum wage. On the same day, other lawsuits against the new minimum wage rule were filed by the U.S. Chamber of Commerce, the National Federation of Independent Business, and the National Retail Federation.

Whether any of these lawsuits will succeed remains to be seen (they didn't hire me, so I don't like their chances). In the meantime, you need to make sure your business is ready to comply with the rule. For more information on how to do this, please contact me or any other of the Jenkins Fenstermaker employment attorneys.

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