by Tammy Binford
The U.S. Department of Labor’s (DOL) proposed rule greatly expanding the number of workers eligible for overtime pay has been submitted to the Office of Management and Budget (OMB) for review, a necessary step before the rule can be finalized.
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The new rule is expected to make nearly five million workers lose their exempt status under the Fair Labor Standards Act (FLSA), according to the DOL, meaning they would be eligible for overtime pay at no less than 1½ times their normal rate of pay for all hours worked over 40 in a workweek.
That change may be coming very soon. Judith E. Kramer, an attorney with Fortney & Scott LLC in Washington, D.C., said OMB review typically takes 30, 60, or 90 days, but she expects this review to be on the shorter end of the scale so the regulations can go out quickly, possibly in April or May. The proposed rule was sent to the OMB’s Office of Information and Regulatory Affairs on March 14.
Tammy Binford writes and edits news alerts and newsletter articles on labor and employment law topics for BLR web and print publications. In addition, she writes for HR Hero Line and Diversity Insight, two of the ezines and blogs found on HRHero.com.