HR Management & Compliance

Puzder Hearing Set for January, Dems Defend Overtime Rules

The Senate has scheduled a confirmation hearing in January for President-elect Donald Trump’s pick for Secretary of Labor.

Time

Trump’s nomination of Andy Puzder, CEO of CKE Restaurants, was the death knell for the U.S. Department of Labor’s (DOL) new Fair Labor Standards Act (FLSA) overtime regulations, according to John Husband, a partner at Holland & Hart and editor of the Colorado Employment Law Letter.

It already was expected that a Trump DOL would withdraw the department’s appeal of an injunction blocking the rules, but Puzder’s nomination solidified that prediction, Husband previously told BLR®.

In a recent webinar, Leslie E. Silverman of Fortney & Scott, said that if lawmakers vote down party lines, the Republicans will have enough votes to confirm Puzder easily.

And they may try to do so quickly. Sen. Lamar Alexander (R-TN), chair of the Committee on Health, Education, Labor and Pensions (HELP), said in a statement that he met with Puzder and was impressed by him. “Mr. Puzder will be a good partner in creating an environment to help grow jobs for American workers,” Alexander said in a statement. “The Senate labor committee will promptly consider his nomination in the next Congress.” The HELP committee said it will hold a hearing in January.

The committee’s ranking member, Sen. Patty Murray (D-WA), however—said December 22—that she has serious questions about Puzder’s ability to lead DOL—specifically citing his opposition to the overtime rule. Murray called for a “vigorous and thorough” confirmation hearing.

Overtime Rule Update

That same day, Sen. Bernie Sanders (I-VT) and 25 other members of Congress urged the 5th U.S. Circuit Court of Appeals to reverse a lower court’s injunction halting the rule.

The lower court erred in enjoining the rule, they said in an amicus brief. It contradicted 5th Circuit precedent allowing for a salary threshold, the lawmakers argued.

The appeals court agreed to expedite DOL’s appeal and set a deadline of January 31, 2017, for final briefs. That still puts the court’s decision after the inauguration, making it possible for Trump’s DOL to withdraw the appeal.

Days before the lawmakers filed their brief, a group of labor organizations asked to join the suit, to take over defending the rules if Trump’s DOL backs out. DOL itself has asked the lower court to hold off on making the injunction permanent until the 5th Circuit can review its appeal.

Kate TornoneKate McGovern Tornone is an editor at BLR. She has almost 10 years’ experience covering a variety of employment law topics and currently writes for HR Daily Advisor and HR.BLR.com. Before coming to BLR, she served as editor of Thompson Information Services’ ADA and FLSA publications, co-authored the Guide to the ADA Amendments Act, and published several special reports. She graduated from The Catholic University of America in Washington, D.C., with a B.A. in media studies.

Leave a Reply

Your email address will not be published. Required fields are marked *