Overtime rule that could have affected US churches struck down

Lenexa, Kansas

A U.S. Department of Labor overtime rule that caused concern for many churches, nonprofits, and commercial businesses last year has been struck down. On August 31, a federal judge in Texas threw out the regulation that would have extended mandatory overtime pay to millions of workers.

The rule would have doubled to almost $47,000 the maximum salary a worker could earn and still be eligible for overtime pay. Although it is believed the rule would not have applied to ministers, many churches were concerned about the financial hardship that might have resulted if they had to cover overtime pay for office workers and other non-clergy staff.

Judge Amos L. Mazzant of the Eastern District of Texas took the latest action on the overtime rule. He is the same one who suspended it in November 2016, just weeks before it was set to become operational.

More details on this story can be found from Reuters, here.

--Pensions and Benefits USA