A Texas federal choose quickly halted implementation of the US Labor Division’s new additional time rule for the state of Texas simply earlier than it was set to enter impact July 1—a win for the state which had stated the change would drive up payroll prices and destroy its finances.Choose Sean D. Jordan of the US District Court docket for the Japanese District of Texas granted Texas’ request for an injunction on Friday. The state stated prices from the brand new rule would lead to fewer jobs for state workers and cuts to different state providers.Nevertheless, the emergency aid is restricted to the state of Texas as an employer solely. “In sum, Texas has established that every one components weigh in favor of granting a preliminary injunction,” Jordan wrote. “Texas is probably going to achieve exhibiting that the 2024 Rule is an illegal train of energy, Texas will likely be irreparably harmed absent an injunction, and the steadiness of equities and the general public curiosity favor stopping illegal company motion.” The choice is a partial blow to the DOL, which stated the rule was wanted to make sure the bottom incomes staff had been being paid pretty for his or her time. The rule, one of many Biden administration’s main employment coverage wins, is predicted to broaden time-and-a-half pay protections to 4 million staff who had been beforehand ineligible. The state of Texas had lower than 100 workers that it estimated could be impacted by the July 1 elevate.Beneath the Truthful Labor Requirements Act, sure “white-collar” staff might be exempt from additional time pay necessities if they’re salaried, make greater than a certain quantity every year, and work in a “bona fide government, administrative, or skilled capability.”The brand new rule, launched in April, would replace the wage portion of the take a look at in order that staff making lower than $58,656 a yr could be routinely eligible for additional time pay any time they labored greater than 40 hours per week. It additionally would replace that wage threshold each three years.The primary part of the rule, initially scheduled for July 1, would have elevated the wage threshold for additional time eligibility to $43,888 from its present $35,568. That quantity was then scheduled to go all the best way as much as $58,656 on Jan. 1.The state of Texas case has been consolidated with a problem introduced by a coalition of enterprise teams within the Japanese District, the choose additionally stated Friday. One other authorized problem is at present pending in opposition to the rule within the Northern District of Texas.The case is State of Texas v. DOL, E.D. Tex., No. 4:24-cv-00499, injunction granted 6/28/24.