The Biden-era effort to raise the minimum wage for employees of federal contractors will not, for now, get a final say by the Supreme Court of the United States. 

Rather, legal challenges will continue to muddy the issue of whether long-standing procurement law supplies the authority for Biden’s executive action and regulatory activity. 

The Supreme Court of the United States rejected a higher standard of proof for employers to demonstrate that an employee is exempt under the Fair Labor Standards Act (FLSA), providing clarity for FLSA disputes across the country on, January 15, 2025. 

On January 1, 2025, California’s state minimum wage will increase to $16.50 per hour for all employers.

The U.S. Department of Labor’s Wage and Hour Division (WHD) recently issued an opinion letter addressing whether daily expense reimbursement payments can be excluded from an employee’s regular rate when calculating overtime pay under the Fair Labor Standards Act (FLSA).

The Internal Revenue Service (IRS) announced that the optional standard mileage rate per mile for business use is increasing to 70 cents on January 1, 2025. This is up from 67 cents in 2024, as described here.

Starting in 2025, Colorado’s state minimum wage, which is adjusted for inflation, will increase from $14.42 to $14.81 per hour. For tipped workers, the minimum wage will continue to be $3.02 less than the standard minimum wage. This means the minimum wage for tipped workers will be $11.79 per hour in 2025.

In a significant ruling, the United States District Court for the Eastern District of Texas has set aside a Department of Labor (DOL or Department) 2024 Rule, which sought to raise the minimum salary level for exemptions under the Fair Labor Standards Act (FLSA) for executive, administrative, and professional (EAP) employees.