Small Businesses Challenge DOL Overtime Rule in New Lawsuit

Date: May 22, 2024

NFIB joins lawsuit in U.S. District Court for the Eastern District of Texas to block final rule

WASHINGTON, D.C. (May 22, 2024) – NFIB joined a lawsuit challenging the Department of Labor’s (DOL) final overtime rule. The new rule, which takes effect July 1, 2024, significantly increases the salary threshold for overtime pay eligibility and will automatically raise the threshold over time.

“DOL’s final rule is an additional complicated and expensive government mandate that small businesses have to navigate at a time when small business optimism is historically low,” said Beth Milito, Executive Director of NFIB’s Small Business Legal Center. “DOL does not have the legal authority to raise the salary threshold or include automatic updates. The small business community asks the Court to consider the needs of Main Street and stop DOL from enforcing this onerous regulation.”

NFIB opposed the final rule when it was issued in April 2024.

The NFIB Small Business Legal Center protects the rights of small business owners in the nation’s courts. NFIB is currently active in more than 40 cases in federal and state courts across the country and in the U.S. Supreme Court.

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