On Tuesday, a federal court in Texas denied a request from the Obama administration to delay further proceedings in a case challenging the U.S. Labor Department’s overtime rule. Late last year Judge Amos Mazzant issued a preliminary injunction against the rule, and, in his opinion, suggested that eventually he would issue a permanent injunction blocking the rule. With Congress unable to fight the rule via Congressional Review Act legislation (the final regulations came to early and the window has shut), the incoming Administration will need to take steps to repeal it by issuing new regulations.
In the meantime, the stay remains and the new OT rule is NOT in effect.
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