The U.S. House of Representatives on Sept. 28 voted to delay the Department of Labor’s (DOL) controversial overtime rule by six months. The Regulatory Relief for Small Businesses, Schools and Nonprofits Act (H.R. 6094) would push the effective date of the overtime rule from Dec. 1, 2016, to June 1, 2017.
This spring, the DOL issued a final rule that will double the current overtime salary limit from $23,660 to $47,476. The rule further stipulates that the salary threshold will be pegged to inflation and automatically adjusted every three years.
Though a six-month delay would be helpful as employers attempt to comply with the new regulation and absorb its impact, NAHB firmly believes that stronger legislative action is needed to reduce the harmful effects of this rule on the nation’s small business community.