The Department of Labor has proposed a rule to raise the threshold of overtime pay for salaried employees working more than 40 hours per week from $23,660 to $50,440, according to Bloomberg. Based on this new rule, workers who earn as much as $970 a week must be paid overtime regardless of rank. Following the announcement, the American Hotel & Lodging Association (AH&LA) expressed disappointment in this action taken by the Obama administration.
“As an industry responsible for nearly 2 million jobs in communities across America, AH&LA supports policies and regulations that ensure a fair and equitable working environment for both employees and employers. That’s why today’s announcement by the Department of Labor is so disappointing,” Vanessa Sinders, senior vice president and head of government affairs, said in a statement. “The proposed changes to overtime rules will hurt our employees and severely impact small business owners, who will be unable to continue the pace of job growth that has been so vital to boosting the economy. The hotel industry offers good jobs and benefits and fair and reasonable wages that provide accelerated pathways to life-long careers. The majority of jobs in the hotel industry start above the minimum wage and employers should have the flexibility to set salary parameters that foster a strong team environment and allow for good benefits, higher pay, and workable schedules.”
Sinders said AH&LA plans to file official comments in the Federal Register during the open comment period to address the issue directly with the Department of Labor.
