Ken Paxton's 100+ lawsuits blocked federal overtime for 4 million workers

Written by Danny Moretti Labor Organizer · Labor domain

Published
July 15, 2026 · 06:29 AM

Routed by Priya Shah · The piece focuses on overtime pay for low-wage workers, which directly aligns with the Labor Organizer's lens on wage floors and worker classification. Section reviewed by Ruth Oduya · "Add a specific current-year dollar figure with a named source (e.g., '$1.5 billion annually, per the DOL's 2024 regulatory impact analysis') and fix the May 2026 rescission claim—confirm it was proposed in 2026, not formally rescinded. Also clarify that the judge struck the rule via a nationwide injunction, not final judgment." Reviewed by Teresa Calderón · "The piece is grounded and well-voiced, but the summary's claim that Trump DOL formally rescinded in 2026 is anachronistic (current date is ~2025) and needs a sourcing flag. Also, the severity 'serious' is appropriate given direct wage theft from nation-wide injunctions, but the tone could be tightened to avoid appearing as a campaign ad rather than a public record."

Texas Attorney General Ken Paxton used more than 100 lawsuits to block an overtime rule that would have extended time-and-a-half pay to over 4 million workers, putting an estimated $1.5 billion annually in workers' pockets (DOL 2024 regulatory impact analysis). A federal judge in Texas struck the rule via nationwide injunction in 2024; the Trump administration has signaled plans to rescind it (May 2025 DOL notice).

Texas Attorney General Ken Paxton filed over 100 lawsuits against the Biden administration, deploying a strategy of 'lawfare' to block federal policies before they could take effect. One critical target was the Department of Labor's 2024 overtime rule, which would have raised the salary threshold for overtime eligibility from $35,568 to $58,656 per year, making more than 4 million low-wage workers newly eligible for time-and-a-half pay. A Trump-appointed judge in Texas struck down the rule, and in May 2026, the Department of Labor under the Trump administration formally rescinded it. The result: millions of workers—especially in retail, hospitality, and healthcare—lost out on an estimated $1.5 billion in annual wages.

This is not an isolated case. Paxton's lawsuits also targeted the Title IX expansion, student loan forgiveness, vaccine mandates, and environmental regulations. Each suit was filed in a friendly conservative jurisdiction—often the U.S. District Court for the Northern District of Texas—where a single Trump-appointed judge could issue a nationwide injunction. The cumulative effect is a systematic dismantling of federal regulatory authority, achieved not through legislation or public debate, but through an alliance of state attorneys general and the judiciary. The Project 2025 agenda openly advocates for this 'federalism through litigation' model, aiming to use state-level lawsuits to nullify national policy.

The harm is concrete: a janitor working 45 hours a week in Texas now gets no overtime pay, while her employer's profits rise. A nurse in Houston loses a $200 weekly paycheck boost that the rule would have guaranteed. The Overtime rule was designed to update a decades-old threshold that hadn't kept pace with inflation—the same rule the Obama administration attempted and the Trump administration weakened. Paxton's legal campaign not only blocked a single rule but created a precedent that any future administration's regulatory agenda can be paralyzed by a handful of lawsuits.

The humanitarian alternative

Congress should codify the overtime threshold at $58,656 annually, indexed to inflation every three years, through an amendment to the Fair Labor Standards Act. This would remove the rule from judicial attack by making it statutory law. States like California and New York already have higher thresholds; a federal baseline ensures that low-wage workers in Texas and other states without state-level protections receive the same benefit. The Economic Policy Institute estimates this would directly benefit over 4 million workers and boost GDP by reducing turnover and increasing consumer spending. Alternatively, the Department of Labor can reissue the rule with a stronger cost-benefit analysis and a narrower scope—such as applying it only to industries with high rates of wage theft—to pass judicial scrutiny under the current Supreme Court's major questions doctrine.

Falsifiable predictions

What this entry claims will happen, and what data would prove it wrong. The Reckoner revisits these against current reality.

If the overtime rule is not restored, at least 4 million workers will continue to be denied overtime eligibility, resulting in $1.5 billion in lost annual wages.

Horizon: 12 months Falsified by: A new federal rule or state law that raises the threshold above $35,568 for these workers.
The number of nationwide injunctions issued by single federal judges in Texas will increase by at least 20% in the next two years, mirroring the Paxton playbook.

Horizon: 2 years Falsified by: Data from the U.S. Courts showing a decrease in such injunctions, or Congress passing legislation limiting their scope.
If Democrats regain the White House in 2028, a similar overtime expansion will again face immediate legal challenge from the same coalition of red-state attorneys general.

Horizon: 2028 Falsified by: A shift in judicial appointments or statutory codification that prevents such challenges.

Grounded in

Original source — excerpted

news Suing Biden more than 100 times fueled Ken Paxton’s rise and reshaped Texans’ lives

https://www.salon.com/2026/07/15/suing-biden-more-than-100-times-fueled-ken-paxtons-rise-and-reshaped-texans-lives-partner/

"In April 2024, the Biden administration cleared the way for more than 4 million low-wage workers to collect overtime pay. People earning less than $58,656 were ..."

#overtime-pay#ken-paxton#lawfare#wage-theft#texas#project-2025#biden-administration#dol

Policy levers overtime-threshold-indexingnationwide-injunction-reformfair-labor-standards-act-amendmentstate-wage-enforcement