Judge’s ruling impedes businesses across the US

One man has created uncertainty for millions of managers of businesses, not to mention employees, across the U.S.

That is the situation after U.S. District Judge Amos L. Mazzant III of Texas blocked a new overtime rule Nov. 22. His decision, in a case brought by 21 states opposing the rule, threw into doubt decisions made by business owners and human resource managers throughout the nation.

The U.S. Department of Labor issued its new rule for overtime pay in May. The rule would raise, to $47,476 from $23,660, the pay threshold making workers eligible for overtime for working more than 40 hours per week. The rule would affect about 4 million workers who don’t have the right to overtime pay now.

After the rule was released in May, business managers went to work to comply with it. Some promised raises to employees to get their pay above the $47,476 threshold. Others reclassified employees to non-exempt status so they could be paid overtime going forward. They rewrote policies and announced changes to their employees. A lot of research and communication took place.

Then Judge Mazzant issued a nationwide injunction against the rule only one week before it was due to take effect. This disrupted planning at many businesses.

While it is unclear what President-elect Donald Trump and his administration will do with the overtime rule, the current dilemma is a real challenge for businesses. Judge Mazzant either didn’t take into consideration the drain on productivity that he is creating, or he doesn’t care. The whiplash effect of on-again, off-again policies makes it difficult for businesses to focus on delivering their products or services to customers.

— Pittsburgh Post-Gazette