Twenty-one states, including Michigan, have joined forces to challenge the U.S. Department of Labor’s new overtime rules in a lawsuit filed in a Texas federal court Tuesday. In the Complaint, the plaintiffs seek a declaratory ruling that, among other items, seeks to find the overtime rules and regulations “unlawful” because they are set to increase the salary level threshold for eligibility automatically every three years, beginning in 2020, without valid congressional authorization. 

The Complaint also contends that the new rules, which are scheduled to go into effect on December 1, will substantially increase labor costs for many states, local governments and private businesses, and will likely result in layoffs and job elimination.