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Bush Proposes Changing Federal Overtime Rules:
New Regulations Would Eliminate Overtime Pay for Many Workers

April 2, 2003

The Bush administration has proposed changes to federal overtime rules that would deny overtime pay for hundreds of thousands of U.S. workers. The Department of Labor introduced the proposal Thursday, March 27, 2003.

The proposed changes would erode the 40-hour workweek, reduce overtime protections and cut the pay of workers who count on overtime to support their families.

New rules would eliminate overtime pay for many of the 80 million workers currently covered under the overtime pay rule of the Fair Labor Standards Act, which says workers are entitled to time-and-one-half pay for every hour worked above 40 hours in a week.

Bush administration proposals would allow employers to exclude more workers from overtime. Proposed changes in job classifications would exempt many workers who now qualify large groups of skilled workers would become exempt from receiving overtime pay. The Bush overtime reform proposal would:

• Exclude previously protected workers by reclassifying them as managers administrative or professional employees who are not eligible for overtime pay
  
  
• Fail to automatically include large numbers of low-income workers
  
  
• Exclude certain middle-income workers from overtime protections by adding an income test
  
  
• Make schedules less predictable for working parents
  
  
• Propose confusing standards for low-income supervisors.

While the proposed rules reportedly would allow additional low-wage workers to qualify for overtime pay, it would drastically cut the number of skilled workers who currently qualify. Union leaders support expanded overtime coverage for low-paid workers, but will continue to oppose changes in job classifications that would cause hundreds of thousands of workers to lose their right to overtime pay.

The public will have 90 days (following the Labor Departments March 27 unveiling of the proposal) to comment on the proposed rules.

To voice your opposition to harmful changes in the federal overtime rules, click here -- ** Congressional Action Center.**

Overtime Pay...U.S. Department of Labor

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