New Overtime Rules Affect Most Small Businesses
The article, “New Overtime Rules Affect Most Small Businesses,” featured in Vancouver Washington Business Journal, discussed how although the DOL’s new overtime rule will affect nearly all businesses within the state of Washington, some industries may feel the pinch more than others.
For example, “retailers, restaurants and small businesses will be hit the hardest as these industries often have managers who are paid significantly less than the new salary threshold of $47,476,” said Brandy Cody. “As these businesses transition salaried managers to being paid hourly (accompanied by the inevitable push to avoid expensive, unbudgeted overtime), other hourly employees will have to step in to get the work done left behind by stretched-thin salaried employees.”
Brandy went on to say that businesses where a larger proportion of employees are currently classified as salaried employees and overtime-exempt will be affected more than those who pay all employees on an hourly basis.
“Although it’s always a good idea to have an expert take a look at how your employees are classified, the new final rule will … make employees scrutinize their pay more closely. There is no time like the present to confirm that your pay plans are in compliance and will still be in compliance when December 1 rolls around,” Brandy said.
To read the full article, please visit Vancouver Washington Business Journal.