June 2016

NASE Supports Legislation To Stop Harmful DOL Regulation

Friday, June 24, 2016

The NASE has announced its support of S. 2707/H.R. 4773, “Protecting Workplace Advancement and Opportunity Act.”  Introduced by Senators Scott (R-SC) and Alexander (R-TN) and Representatives Walberg (R-MI) and Kline (R-MN), would block the current proposed Department of Labor overtime regulation from taking effect and require the Department to perform a deeper analysis of the impact changes to overtime regulations will have on small businesses, nonprofits, regional economies, local governments, Medicare and Medicaid dependent health care providers, and academic institutions, as well as employee flexibility and career advancement before proceeding with a rule.

The new overtime rule as announced by the Department raises the salary threshold of exempt employees to $47,476 per year in order to be ineligible for overtime pay. The salary thresholds will be automatically updated every three years. There is no carve-outs for small business and/or nonprofits, a point to which the NASE’s objects.

While the NASE believes in pay equal to work, the 100% increase in the salary threshold without consideration of regional economic differences, which has a significant impact on small businesses, is reckless and will have lasting consequences for the employer/employee relationship.


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