Michael Best Partner Brian P. Paul was quoted in the Society for Human Resource Management's article, "Chipotle Worker's Lawsuit Claims Obama-Era Overtime Rule Still Applies" on June 12, 2017.
Although a Chipotle Mexican Grill employee has sued the fast-food chain, claiming it should have been following the Obama administration's overtime rule since December 2016, employers shouldn't rush to change how they've addressed the rule, attorneys say.
The rule would have raised the federal salary threshold for white-collar exemptions from overtime pay to $47,476, but a federal judge in Texas blocked the rule in November 2016.
Management attorneys, however, told SHRM Online that businesses should sit tight.
Employers should not lose any sleep because of the case against Chipotle, noted Kathleen Anderson, an attorney with Barnes & Thornburg in Fort Wayne, Ind., and Columbus, Ohio.
"Right now, employers should not change how they have addressed the enjoined $47,476 salary threshold," said Brian Paul, an attorney with Michael Best in Chicago. Some employers chose to comply with the rule regardless of the injunction, while others chose not to comply for various reasons.
But employers should watch the case closely, Paul said. If the court refuses to dismiss the lawsuit against Chipotle, there will be a rush of plaintiffs waiting on the courthouse steps, he said.
To read the entire Society for Human Resource Management article, click here.