A federal judge reversed his decision Tuesday allowing Clayton County Schools to proceed -- for now -- with plans to have teachers and other contract employees give back part of their salary to help the district deal with its anticipated $49 million budget deficit over the next two years.

Judge Richard Story lifted the temporary restraining order he imposed against the district late last week. Story is a judge in the U.S. District Court for the Northern District of Georgia. The decision is the latest volley between the district and its employees over how to resolve the nagging budget deficit.

"We're somewhat disappointed given the court entered the temporary restraining order on Friday, but the case is far from over. We're not out of the fight yet," said Blake Andrews whose Buckhead law firm is one of three Atlanta law firms representing Clayton teachers Linda Plummer and Janice Scott. The teachers filed a class-action lawsuit against the district last week. Attempts to reach the district's attorney, Randy Farmer, were unsuccessful.

Teachers argue the district's salary reduction plan, which asks them to give back pay, violates their constitutional rights.

“It’s fairly unusual for a retroactive furlough,” said Alan Hamilton, an attorney with Shiver Hamilton, LLC, a Midtown Atlanta law firm also representing the teachers. “The contracts the teachers signed may allow the district to declare a furlough prospectively, but not to go back and take money back. You go back and take it and teachers have trouble paying their bills and mortgages. They can face all sorts of negative financial consequences.”

In his decision to lift the restraining order, Story said employees could likely retrieve their money by filing breach of contract complaints against the school district.

The amount of money being deducted is roughly one week's pay.

The school district already has begun collecting the money for the furlough days. Tuesday was the first deduction day, district spokesman Charles L. White said.

Andrews said he's mulling the next move on behalf of the district's employees.

"The lawsuit is still proceeding," Andrews said. "These are just the early stages. Right now we’re evaluating our next steps."