- LABI Issues Statement of Support for Tuesday’s Federal Overtime Rule Injunction
- November 29, 2016
- Law Firm: Taylor Porter Brooks Phillips L.L.P. - Baton Rouge Office
- Today, the Louisiana Association of Business and Industry (LABI) issued the following statement in support of the recently issued injunction by U.S. District Judge Amos Mazzant III, ruling that the Obama administration has exceeded its authority by attempting to implement the new federal overtime rule.
Renee Amar, Small Business Director of the Louisiana Association of Business and Industry, stated, “This rule would cause irreparable damage to the small business community and hit our Louisiana workforce especially hard. It would be a severe hindrance to overall economic growth and undoubtedly add to the burden facing all businesses. This nationwide injunction will not only benefit every business across the State but, it will also provide some relief to those Louisiana employers who are continuing their extensive recovery efforts from the recent flood. Surely with continued analysis, the court will confirm the concerns voiced across the country. We remain in strong opposition to the federal overtime rule.”
LABI has remained a fervent opponent of the overtime rule implementation throughout the year. On September 6, 2016, LABI issued a formal request, to the U.S. Department of Labor Secretary Thomas E. Perez, to delay the implementation of the new federal overtime rule in the 22 Louisiana parishes that were declared disaster areas.
LABI continued their advocacy efforts through their travels to D.C. to meet with the Congressional Delegation, where they asked that Congress push back on the overtime rule. The LABI delegation made the case that the South Louisiana business community, as they recover from the devastating flood event, needed additional time to adjust and prepare for such an impactful ruling. On September 20, 2016, LABI hosted, in their Baton Rouge offices, an "Overtime Overhaul" seminar which was organized to provid¬e additional information that might more clearly explain how this change would impact small businesses across the flood-ravaged region. Although the rule was covered in detail, an overwhelming majority of participants remained apprehensive regarding, what was then, the impending new overtime rule.
On September 21, 2016, LABI also pledged support to the coalition of 21 states which filed a federal court complaint challenging the U.S. Department of Labor’s overtime rule. LABI issued a statement exclaiming the Federal Government had once again overstepped their bounds into the marketplace and were inherently creating a considerable burden for Louisiana businesses.
Earlier this year, the U.S. Department of Labor finalized a rule to require salaried workers earning less than $47,476 to be eligible for overtime pay. ¬The overreaching rule applies to executive, administrative and professional workers in the private sector, non-profit organizations, academia and state and local government. The regulation was scheduled to go into effect nationwide on December 1, 2016.