12:05 PM EDT, 05/23/2024 (MT Newswires) -- Several business groups joined a lawsuit against the US Labor Department, seeking to block the implementation of a new rule that would expand the number of workers covered by overtime pay protections.

The lawsuit was filed Wednesday in Texas federal court and the plaintiffs include the American Hotel and Lodging Association, International Franchise Association, National Association of Convenience Stores, National Association of Home Builders, National Federation of Independent Business, and National Retail Federation, among others.

The new regulation, set to take effect on July 1, "significantly increases the salary threshold for overtime pay eligibility and will automatically raise the threshold over time," the National Federation of Independent Business said.

According to the business groups, the new regulation will cause "irreparable harm" to their employer members. In their lawsuit, the associations seek to vacate the new rule and postpone its effective date.

The Labor Department did not immediately respond to MT Newswires' request for comment.