Hospitality and Wage and Hour Co-Chairs Explore “Overtime Rule 2.0’s” Impact on Quick-Service Restaurants
In their bylined piece for QSR titled, “What Restaurants Need to Know about the New OT Rule,” Hospitality Industry Group Co-Chair Alden J. Parker teamed with Wage and Hour Practice Group Co-Chair J. Hagood Tighe to discuss the U.S. Department of Labor’s recently released rule governing overtime regulation and its impact on the quick-service restaurant industry. Alden and Hagood note, “The DOL expects the rule will expand overtime pay obligations to an estimated 1.3 million additional workers, many of whom work in restaurants. As a result, quick-serves will have some decisions to make on the exempt status of certain managers and shift leaders, and with an effective date of January 1, 2020, now is the time to act and prepare for this change.”
Alden and Hagood, in addition to breaking down the technical details of the new rule, offer considerations for QSR employers, starting with auditing their workforces to determine how the overtime expansion may affect their financial situation and impact salaries, worker classification and compensation through bonuses.
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