May 3, 2017
Public sector employees have long had the option of accepting paid time off in lieu of overtime pay for hours worked beyond their workweek. But on Tuesday May 2, 2017, the U.S. House of Representatives passed a bill amending the current Fair Labor Standards Act that, if signed into law, would provide that same choice to employees in the private sector. This means that when an employee would normally be entitled to receive “time and a half” worth’s pay for any hours worked beyond their regularly scheduled time, they could instead elect to receive paid time off at their normal rate. This would be a major reform for private sector employers in the world of overtime compensation. While it still must pass through the Senate, a news release from the White House stated that the President supports the bill in its current state and would sign it into law if presented.
At RCO Law, we stay up to date with the constantly developing overtime compensation laws and regulations so that we can help you and your business stay compliant, and look ahead to proactively find solutions.