Overview
- - The Labor Department published a technical amendment in the Federal Register on Friday, May 15, 2026, removing the 2024 overtime rule and reinstating the prior regulatory text.
- - The federal thresholds now in force are $684 per week for most white-collar exemptions and $107,432 for highly compensated employees, and this action affects only the salary-level test, not the duties or salary-basis tests.
- - The reversal follows two Texas district court rulings that vacated the 2024 rule and Fifth Circuit dismissals on May 5 and May 7, 2026, which left those decisions in place.
- - Employers that raised pay or reclassified staff for the 2024 rule now face choices on whether to keep those changes and should review classifications, timekeeping, and any stricter state requirements.
- - The department used a good-cause “technical correction” to skip notice-and-comment and has signaled it may decide on future rulemaking by June 30, which could invite new legal challenges.