ABC is encouraging all members to take action and submit comments
to the Department of Labor’s (DOL) Wage and Hour Division on its Request for Information
(RFI) on the 2016 overtime final rule, officially named the Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales and Computer Employees. The final rule, had it gone into effect, would have changed the federal exemptions to overtime pay under the Fair Labor Standards Act for "white collar" workers by doubling the current minimum salary level for exemption from $23,660 to $47,476 per year and automatically increasing it every three years. The public has the opportunity to submit comments on the RFI until Sept. 25, 2017
On Aug. 31, 2017, the U.S. District Court for the Eastern District of Texas granted a motion for summary judgment
against the final overtime rule and converted its earlier preliminary injunction
(issued Nov. 22, 2016) to a permanent injunction. ABC participated in the legal challenge that resulted in the court overturning the rule.
Throughout the construction industry, employers and employees have come to rely on the current definitions of exempt job categories, which promote career advancement opportunities for workers while giving employers flexibility in setting hours and helping avoid misclassification errors.
If the overtime final rule had gone into effect on Dec. 1, 2016, it would have been extremely disruptive and harmful to both employers and many of their currently exempt employees. The final rule would have:
Deprived employees of workplace flexibility and advancement opportunities,
Injured the morale of reclassified exempt workers,
Created an undue burden on certain regions of the country, including southern states and rural
Significantly increased administrative costs of construction industry operations.
Take action now and submit comments on the DOL’s RFI by the Sept. 25 deadline. Members can submit their concerns through the ABC Action Center
or through the ABC Action App on either iPhone