DOL Overtime Rule to Take Effect Dec. 1
The U.S. Department of Labor (DOL) has released its final overtime rule, which doubles the current overtime salary limit of $23,660 to $47,476. NAHB strongly condemned the regulation, stating that it will cause major harm to small business owners and housing affordability. The 100% increase will undoubtedly have real consequences for the home building workforce, especially for trades that value schedule flexibility. Under the new rule, employers will need to start tracking hours and paying overtime for those earning less than $913 per week. It is estimated that more than 96,000 construction supervisors nationwide will become overtime eligible as a result of this regulation.
The rule is currently set to take effect December 1, and will index the salary threshold to inflation every three years, leaving employers in a constant state of flux. NAHB and other pro-business advocates are urging Congress to pass legislation forcing the DOL to withdraw the rule until it has more carefully considered the economic impact it will have on small businesses, consumers, and workers.