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I remember working for a place that didn't pay overtime. So sometimes I worked 8 1/2 or 9 hours, and I got 8 1/2 or 9 hours of pay.
Then they changed the rule to pay for overtime. Then the rule was "no overtime will be paid without prior approval."
So my choice was either work harder during the 8 hours to get the same amount of work done, or do it under the table so to speak (unpaid). And I went from getting 9 hours of pay to 8 hours of pay--but still doing the same amount of work. So who exactly benefited?
it sounds nice... then you realize that if employers don't want to pay overtime, they can just hire 2 "half time" people at no benefits to replace one full time person who works over time
but it'll be somewhat fun to watch, if they cut back too many full time people and just hire extra workers, that might put them over the employee limit exemption on providing healthcare
i could see people using more "contracting" companies though, hire 3rd party for non-essential work to get around over time and healthcare regulations
it sounds nice... then you realize that if employers don't want to pay overtime, they can just hire 2 "half time" people at no benefits to replace one full time person who works over time
Or they can reduce the pay of the overtime person so that they are still paid what they were before they became non-exempt, except now they have to work 50 hours a week to match their old pay.
This applies to salaried workers who do not currently qualify for OT. In my workplace, we have some employees who may work 55 hours one week, then be able to drop hours the next week to even out. But some departments require those long hours during peak time, but will not allow adjustments. So these folks are working extra hours and get no OT pay, no comp time, no leaving early on Fridays, no longer lunch, no nothing. And we're talking significantly long days--10, 12, 15 hour days--for days in a row. Downsizing has made staff smaller, but the same amount of work is expected to be done. And I cannot do the work of 4 people. But as long as we can expect salaried workers to put in that time without compensation, it will just get worse & worse.
A lot of employees on salary are worked long hours. If you divide it out they are barely making minimum wage. Management is simply stealing from workers and it should be illegal.
This is for the businesses that employ 20 regular employees, and 8 "managers, asst managers, shift managers" who work as much as the other 20-and make LESS per hour then the people they manage.
The current threshold of around $24K per year is pretty laughable. This change was indeed long overdue.
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