On November 15, 2024, a Texas federal court judge vacated the U.S. Department of Labor (USDOL) final rule that increased the minimum salary thresholds for overtime exemptions under the Fair Labor Standards Act (FLSA). The final rule, which took effect July 1, 2024, increased the minimum for executive, administrative or professional (EAP) exemptions from $684 to $844 per week, and for highly compensated employee (HCE) exemptions, from $107,432 to $132, 964 annually. The Texas judge ruled that USDOL exceeded its rulemaking authority by effectively replacing the duties test applicable to the EAP exemptions with a salary test. He also found that the rule’s mechanism to increase the salary levels every three years starting in 2027 did not uphold regulatory requirements and instead set its rulemaking on “autopilot.” This effectively restores the 2019 salary thresholds that were in place prior to July 1st. Lawsuits regarding the final rule are pending in two other federal district courts, and the USDOL is appealing the November 15 decision. See the USDOL site for updates.