ARTICLE
22 January 2025

The Year Ahead 2025: Wage And Hour Considerations

JL
Jackson Lewis P.C.

Contributor

Focused on employment and labor law since 1958, Jackson Lewis P.C.’s 1,100+ attorneys located in major cities nationwide consistently identify and respond to new ways workplace law intersects business. We help employers develop proactive strategies, strong policies and business-oriented solutions to cultivate high-functioning workforces that are engaged, stable and diverse, and share our clients’ goals to emphasize inclusivity and respect for the contribution of every employee.
While many anticipate a more business-friendly administration, the appointment of a seemingly pro-labor Republican as Labor Secretary and President Trump's populist instincts...
United States Employment and HR
Justin R. Barnes’s articles from Jackson Lewis P.C. are most popular:
  • with Senior Company Executives, HR and Inhouse Counsel

While many anticipate a more business-friendly administration, the appointment of a seemingly pro-labor Republican as Labor Secretary and President Trump's populist instincts could make it hard to predict what the year ahead will bring for wage and hour law.

Start-of-the-Year Status

Minimum salary for EAP exemptions

  • Vacated.
  • DOL has filed an appeal.

Independent contractor rule

  • Several lawsuits pending.
  • Trump Administration may restore regulations his DOL previously issued.

80-20 regulation for tipped employees

  • Vacated.
  • Employees will still seek to impose it, or some version of it, as a valid interpretation of the statutory language permitting a tip credit.

Federal contractors

  • Minimum wage mandate for federal contractors valid, for now, in most jurisdictions.
  • Trump executive order likely imminent.

What to Watch

  • Congressional weigh-in on Trump's campaign promises:
    • No tax on tips or overtime?
    • Comp time for private employees?
    • Overtime determined based on an 80-hour cycle?
  • Labor Secretary nominee Lori Chavez-DeRemer: The degree to which she will be a wild card.
    • Will DOL shift focus from enforcement actions to education and job creation?
  • Wage and hour collective actions: Procedural shifting sands.
    • Erosion of "conditional" certification.
    • Bristol-Myers reins in nationwide collectives.
  • Enforcement + litigation: The extent to which the locus shifts to the states.

The Year Ahead 2025: Back to the Future for Core Wage and Hour Concerns

Hosts: Justin R. Barnes, Principal and Wage and Hour Co-Leader, and Eric R. Magnus, Principal and Class Actions and Complex Litigation Co-Leader

"A corollary to the populist instincts of president-to-be Trump [i.e., his possible support for some increase to the federal minimum wage] is this issue about removing taxes on tips. This is something that could certainly happen in 2025 — and it would be the most important effect on the wage and hour practice in the entire time I have been practicing in this area."

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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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