DOL Rescinds 2024 Overtime Rule, Reverts to 2019 Salary Thresholds
The U.S. Department of Labor formally rescinded its 2024 overtime rule and returned to the 2019 salary threshold framework for overtime eligibility. The 2024 rule had partially taken effect before courts vacated it following the first salary threshold increase. The rescission provides immediate relief to home health and personal care providers who faced significant compliance and cost pressures under the expanded overtime requirements. The reversion to 2019 thresholds stabilizes wage and hour obligations for home care agencies, many of which serve Medicaid beneficiaries.
Medicaid managed care organizations with home and community-based services contracts will see reduced labor cost pressure from network providers, improving workforce stability and potentially easing rate adequacy concerns in LTSS programs.
LTSS · Managed Care
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