FLSA Threshold Implementation and Court Action

An injunction issued by the U.S. District Court for the Eastern District of Texas delaying the implementation of the increase to the Fair Labor Standards Act (FLSA) salary threshold for exempt employees applies only to the State of Texas as an employer.

The court injunction, issued June 26, 2024, does not impact other employers in Texas, including school districts, colleges, and education service centers. HR Services members should proceed with plans to ensure exempt employees meet the July 1, 2024, threshold of $844 per week and the January 1, 2025, threshold of $1,128.

Additional legal challenges to the January threshold increase filed by several business groups are still pending. The challenges contend that the $1,128 threshold exceeds the level established by the court in a 2017 ruling. The lawsuit also argues that the increase in salary thresholds shifts the focus from the job duties test to salary when determining if a position is exempt.

HR Services has several articles to help employers understand the required salary threshold changes and plan for implementation (TASB login required):

• FLSA Salary Thresholds and Pay Ranges
• Implementing the Revised Fair Labor Standard Act Rules
• FLSA Weekly Exemption Salary Threshold Calculations
• Communicating the Impact of FLSA Threshold Changes

More information is also available in the recorded webinar The Impact of the 2024 FLSA Changes on Public Schools (member login required). The following HR Services Resource Library items are also available to HR Services members:

• Fair Labor Standards Act 2024 Rules Changes: Frequently Asked Questions
• FLSA Exemption Test Criteria
• FLSA Exemption Test Criteria for Colleges
• Fair Labor Standards Act Requirements
• Fair Labor Standards Act Requirements for Colleges