It’s difficult to be in the American workforce right now without hearing about the Department of Labor’s (DOL) new overtime regulations. We want to know what you think about them, how your organization is preparing for them, and what your organization will do once December 1st swings around.
Paying hard workers overtime seems like a no brainer, especially from the worker perspective. However, many are unhappy with some of the broader features of the new regulations that will influence many who were perfectly happy where they were already.
Some of the problems that the new overtime regulations might create include the following.
- Some estimate that 4.2 million new workers will have to start keeping track of their hours. The strain on time tracking systems is just part of the problem. What about all of those employees who had the freedom of being exempt? Now they will have to keep track of every minute, which many will react to negatively.
- Some workers might now make more than their supervisors. Workers that were salary and working a lot of overtime will now be paid for that overtime. In some circumstances, this could potentially bump up their pay enough so that they make more than their supervisors. Imagine working hard to be in a leadership role, only to be paid less than those you manage.
- The DOL estimates that this will cost companies around $677 million just to stay in compliance. Imagine if that money was spent on salaries and benefits? That’s not even including all of the overtime and adjusted compensation that will be paid.
These are just some of the many potential problems with the new rules. How is your company preparing for it? What kind of impact will it have at your organization? How about for your specifically? We really want to know.
Please take our overtime survey, and help us better understand the true impact of the new rules.
James Davis, Editor of HR Daily Advisor