The anticipated legal challenges to the Department of Labor’s Final Rule regarding the salary level for white collar exempt employees were lodged yesterday through two separate lawsuits filed in the Eastern District of Texas. State of Nevada et al v. United States Department of Labor et al, E.D. Texas 16-CV-731; Plano Chamber of Commerce et al v. Perez et al, E.D. Texas 16-CV-732. In the first, twenty-one states challenge most aspects of the Final Rule, including its application to the states themselves. In the latter, the U.S. Chamber of Commerce and other business groups attack the new salary level as “arbitrary,” and also challenge the Rule’s 10% cap on the use of non-discretionary incentive compensation to satisfy the salary level requirement. Full coverage is available here.
