Federal Judge Blocks Biden's Overtime Pay Expansion for Millions of Workers

A federal judge in Texas has struck down a Biden administration rule that aimed to expand overtime pay eligibility to millions of salaried workers.

The rule, which took effect in July, was intended to base overtime pay eligibility on wages rather than job duties. However, the judge ruled that the Labor Department overstepped its authority in implementing the regulation. The decision is a setback for the administration's efforts to increase worker compensation, particularly for those in lower-wage salaried positions.

Business groups had opposed the rule, arguing it would increase costs and reduce flexibility in the workplace.