Government Doesn’t Appeal NCLA’s Victory in Labor Rule Case

In this episode of Unwritten Law, NCLA President and Chief Legal Officer Mark Chenoweth and Senior Litigation Counsel John Vecchione discuss a major victory in Flint Ave. LLC v. U.S. Department of Labor, after the federal government decided not to move forward with its appeal.

The case challenged a Department of Labor rule that dramatically increased the salary threshold for employees classified as exempt from overtime and minimum wage requirements under the Fair Labor Standards Act. NCLA argued that the rule unlawfully elevated salary level over the actual duties employees perform—contrary to the statute Congress enacted.

John explains how the district court permanently set aside and vacated the rule nationwide, why the government’s appeal remained pending for more than a year, and what it means now that the Department of Justice has agreed to dismiss the appeal.

The discussion also explores the practical consequences of the rule for businesses and workers who rely on flexible schedules, including part-time managers and employees who prioritize flexibility over rigid salary structures. Mark and John explain why the decision represents both a major victory for their client, Flint Ave. LLC, and an important reaffirmation that agencies cannot rewrite statutes through regulation.