On Nov. 22, the U.S. District Court for the Eastern District of Texas issued a preliminary injunction blocking the U.S. Department of Labor’s (DOL) burdensome and costly overtime final rule. The rule would have changed the federal exemptions to overtime pay under the Fair Labor Standards Act for administrative, executive and professional employees, the so—called "white collar" worker classifications that have long been exempt from time-and-one-half pay for working more than 40 hours per week. The new rule will not go into effect without further action from the court.

WASHINGTON, D.C., Nov. 16– Associated Builders and Contractors (ABC) today welcomed news that the U.S. District Court for the Northern District of Texas has permanently blocked the U.S. Department of Labor’s (DOL) “persuader rule,” officially named the "Interpretation  of  the  ‘Advice’  Exemption  in  Section  203(c)  of  the  Labor-Management  Reporting  and  Disclosure  Act." In finding the rule unlawful, the District Court has maintained employers’ right to obtain advice from labor rel

ABC and a coalition of business groups filed suit against the U.S. Department of Labor (DOL) Wage and Hour Division’s costly and burdensome final overtime rule on Sept. 20. The legal challenge was filed in the U.S. District Court for the Eastern District of Texas.

ABC reiterated its opposition to the Department of Labor’s (DOL) “persuader rule” ahead of the April 27 U.S. House Committee on Education and the Workforce Subcommittee on Health, Education, Labor, and Pensions hearing on how the newly finalized regulation limits employers’ rights and undermines the right of workers to make informed decisions in union elections. The final rule, issued March 23, redefines “persuader” activity under the Labor Management Reporting and Disclosure Act (LMRDA) and triggers expanded reporting requirements for employers and their attorneys. 

The U.S. Department of Labor (DOL) released its latest regulatory agenda on Nov. 20. The agenda lists the priorities of the administration and the rulemakings they expect to release in 2016, their final year. An update on rulemakings affecting the construction industry is below.

ABC reiterated its opposition to the Department of Labor’s (DOL) one-size-fits-all overtime proposal ahead of the Oct. 8 U.S. House of Representatives Small Business Committee  Subcommittee on Investigations, Oversight and Regulations hearing on how the proposed regulation would impact small business owners and their employees. The proposed rule, which was issued July 6, makes changes to existing regulations under the Fair Labor Standards Act (FLSA) that define which employees are exempt from overtime pay.

Beginning Jan. 1, 2016, the minimum wage for workers on covered federal contracts and service contracts will increase to $10.15 per hour from $10.10 per hour in 2015. The increase is dictated by the Oct. 7, 2014, Department of Labor’s Wage and Hour Division final rule that implemented Executive Order 13658.

On Sept. 10, the U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) issued its final rule prohibiting federal contractors and subcontractors from terminating or otherwise discriminating against employees who discuss their compensation with co-workers or job applicants. This rule implements the Obama administration’s Equal Pay initiative under Executive Order 13665 and will take effect on Jan. 11, 2016.

ABC and more than 900 members submitted comments in opposition to the U.S. Department of Labor (DOL), Wage and Hour Division’s July 6 Proposed Regulations for Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales and Computer Employees. If enacted, the proposal, commonly referred to as “the overtime proposal,” would more than double the minimum salary for the white collar overtime exemption and would automatically update the salary levels on an annual basis.

The U.S. Department of Labor (DOL) released new guidance July 15 related to employers’ use of independent contractors. In the Administrator’s Interpretation and an accompanying blog post, Wage and Hour Division Administrator Dr. David Weil laments the “problematic trend” of deliberate misclassification, and considers the guidance part of a “multi-pronged approach” to combat the phenomenon.