On September 28th, the Partnership to Protect Workplace Opportunity sent a letter of support of H.R. 6094, the “Regulatory Relief for Small Businesses, Schools, and Nonprofits Act” to the U.S. House of Representatives. This bill would provide a six-month delay in the implementation date of the overtime regulation, establishing the new effective date as June 1, 2017 and such a delay would be helpful as employers attempt to comply with the new regulation and absorb its impact.
On August 3, 2016, the Partnership to Protect Workplace Opportunity sent a letter of support to Rep. Kurt Schrader thanking him for the introduction of H.R. 5813, the “Overtime Reform and Enhancement Act.” The bill would provide employers and employees important relief from the negative impacts of the Department of Labor’s final overtime rule.
On July 13, 2016, the Partnership to Protect Workplace Opportunity sent a letter to Chairman Rogers and Ranking Member Lowey of the House Committee on Appropriations to thank them for including in the Fiscal Year 2017 Labor, Health and Human Services, Education and Related Agencies Appropriations Bill a provision halting implementation of the Department of Labor’s final overtime rule.
You can read the letter here: PPWO Letter on Labor HHS Appropriations – 7-13-16
On June 23rd, the Partnership to Protect Workplace Opportunity sent a letter to Chairman Chabot and Ranking Member Velázquez of the House Small Business Committee thanking them for holding a hearing entitled “Damaging Repercussions: DOL’s Overtime Rule, Small Employers, and their Employees,” and urging all the members of the Small Business Committee to cosponsor H.R. 4773, the “Protecting Workplace Advancement and Opportunity Act”, which would require the Labor Department to conduct a detailed economic analysis before making dramatic changes to federal overtime pay requirements, and would prohibit any automatic increases.
You can read the letter here: PPWO Letter to the House Small Business Committee
Partnership to Protect Workplace Opportunity Co-Chair Lisa Horn had the following statement on the House Small Business Committee’s hearing, “Damaging Repercussions: DOL’s Overtime Rule, Small Employers, and their Employees:”
We commend Chairman Chabot and the members of the House Small Business Committee for holding today’s hearing to highlight the overwhelming negative consequences of the Department of Labor’s recently issued overtime regulation. The Committee’s interest is most welcome, as this regulation has quickly become the overriding concern of small businesses, nonprofits, public sector employers, and educational institutions across the country.
These employers are facing challenging and painful decisions as they try to meet the extraordinary demands of the new regulation. The new salary threshold for determining overtime pay eligibility is more than double the previous level ($47,476 from $23,660), and employers are struggling to absorb such a drastic increase.
As a result of this misguided regulation, many currently exempt, salaried professional employees will have to be reclassified as hourly wage earners–a change that is frequently considered a demotion. Employers will have no choice but to limit employees’ hours to less than 40 per week and reduce access to training opportunities and workplace flexibility. In many cases, employers will be forced to cut critical programming, staffing, and services. In the nonprofit sector, this could mean providing fewer life-saving and other desperately needed services for vulnerable populations.
We are pleased that today’s hearing will shed light on the serious hardships the new overtime regulation imposes on employers, their employees, and the people and communities that they serve.
Press Release from the House Committee on Education and the Workforce (June 9, 2016)
|WASHINGTON, D.C. – The House Committee on Education and the Workforce, chaired by Rep. John Kline (R-MN), held a hearing today to examine the Department of Labor’s controversial overtime rule, which doubles the salary threshold under which employees qualify for overtime. Concerns have been raised that the administration failed to streamline existing overtime regulations and finalized a rule that will lead to fewer jobs, less workplace flexibility, and fewer opportunities to climb the economic ladder.
“This rule will disrupt the lives of countless individuals and do nothing to remove the regulatory landmines that are harmful to workers and employers,” Chairman Kline said. “That’s what small business owners, college and university administrators, state and local officials, and heads of nonprofit organizations have warned about. But these warnings were ignored … The department ignored the voices of those who must implement this rule in their workplaces, on their campuses, and as they serve the needs of people in their communities.”
Fortunately, many of those voices were heard today as witnesses described the costly consequences of a rule that will negatively impact:
Rep. Tim Walberg (R-MI), who introduced legislation earlier this year to ensure a more responsible update to federal overtime rules, summed up the consequences for workers, students, nonprofits, and small businesses: “The bottom line is that this rule hurts the very individuals the administration claims it will help.”