North Carolina If You Make Less Than $55,000 You May Be Getting Mandatory Overtime Pay Soon
If you are a salaried employee who currently makes under around $55,000 (or $1,059 a week) then a new rule proposed by President Joe Biden could positively impact you. A press release from the US Department of Labor out today, Wednesday, August 30th, states that the Biden Administration has “moved to extend mandatory overtime pay to 3.6 million salaried workers”. Essentially this impacts nonhourly workers who make less than $1,059 per week. Employers would be required to pay these employees overtime for any hours over 40 worked during the week. Currently, the threshold is $32,000 which was set by the Trump Administration in 2020.
I tend to stay out of politics. But this is something that I think all sides should be able to agree on. Employers should not be able to take advantage of workers. And without substantial compensation, the work week should end at 40 hours. In my opinion, this is a win for all employees in the country. Currently, US Wage laws state employers must pay eligible workers one and one-half times their regular rate of pay when they work more than 40 hours in a week. The press release states that the proposed rule would accomplish three main things:
The proposed rule would do the following in regards to mandatory overtime pay:
- Restore and extend overtime protections to low-paid salaried workers.
- Give workers who are not exempt executive, administrative, or professional employees valuable time back.
- Prevent a future erosion of overtime protections and ensure greater predictability.
Essentially it protects the workforce from predatory employers, which is something that in my opinion we shouldn’t need rules about. But alas we do. According to the Department of Labor, this proposed rule has been approved by the Office of Management and Budget’s Office of Information and Regulatory Affairs. It has now been submitted to the Office of the Federal Register (OFR) for publication. It is currently pending placement on public inspection at the OFR and publication in the Federal Register. You can see answers to frequently asked questions about the proposed rule and mandatory overtime pay here.