DOL rescinds Biden-era overtime rule, formalizing return to 2019 salary threshold
Caroline Colvin
May 19, 2026
The salary threshold is only part of the exemption test, one attorney reminded HR leads.
Dive Brief:
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The U.S. Department of Labor’s Wage and Hour Division announced Thursday it was rescinding the embattled Biden-era overtime rule, more than a year after federal courts vacated the 2024 regulations. The rule took effect Friday.
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The 2024 rule raised the earnings threshold to qualify for overtime to $844 per week in July 2024, from the 2019-issued threshold of $684 per week. It was then set to increase again to $1,128 per week on Jan. 1, 2025, and would have increased periodically from then on.
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In late 2024, two Texas district courts vacated that year’s final rule. After DOL dropped its appeals of the decisions earlier this month, the 5th U.S. Circuit Court of Appeals dismissed the cases and the orders remain final judgments, DOL said.
