Discussion: Obama Admin Rule Makes 4 Million Workers Newly Eligible For Overtime Pay

“We can’t pay you time and a half because you’re slow,” she said. “This is extremely frustrating for me.”

If only there was some other mechanism to handle workers who are not productive!

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"Mara Fortin, CEO of seven Nothing Bundt Cakes bakeries in San Diego, said she might give raises to her “superstar” managers to lift their pay above the overtime threshold. But she said she’d have to reduce end-of-year bonuses she frequently pays to offset the cost.

Fortin has 14 salaried managers and assistant managers among her 110-member staff. The new rule will create problems for managers, some of them newer hires, who take longer to get their work done, she said. She might have to cut their base pay, meaning they would earn about the same income they do now, even including overtime.

“We can’t pay you time and a half because you’re slow,” she said. “This is extremely frustrating for me.”

Just say it: “THERE’S NO WAY I’M LETTING THIS IMPACT MY PAY, MY LIFESTYLE, MY WEALTH. THE SHITTY WAGES/SALARIES, SHITTY BENEFITS AND SHITTY BONUSES I GIVE MY EMPLOYEES AFFORDED ME A CERTAIN LEVEL OF OPULENCE AND COMFORT THAT I PROBABLY NEVER SHOULD HAVE HAD IN LIGHT OF THE LACK OF WEALTH AND COMFORT I WAS PROVIDING MY EMPLOYEES IN ORDER TO OBTAIN AND MAINTAIN THAT LIFESTYLE FOR MYSELF, BUT THERE IS ABSOLUTELY NO FUCKING WAY I’M LETTING THIS EFFECT MY PERSONAL BOTTOM LINE. I WILL FIND A WAY AROUND THIS AND PUNISH MY EMPLOYEES FOR IT, MARK MY WORDS.”

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Thank you, President Obama. This is good it will give many workers an upper-hand in contract and hiring negotiations. The vast majority of employers will not do it on their own, so it’s best we force them to treat employees more like human beings and not like inexhaustible robots.

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I’m sorry, but where is his authority do this?

And, does this affect what bathroom the newly OT created employees use?

An hourly worker “who takes an afternoon off to attend a parent-teacher conference will not be paid for that time, but an employee (who is exempt from overtime) will be paid her full guaranteed salary,” McCutchen said in congressional testimony last week.

And as such will most likely be expected to make up for that afternoon off somewhere else in the week or use PTO’s to cover the absence, it isn’t a free afternoon off.

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If I understand correctly, the Fair Labor Standards Act gives the President the authority to do this.

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“With the stroke of a pen, the Labor Department is demoting millions of workers,” David French, a senior vice president for the National Retail Federation, said. “Most of the people impacted by this change will not see any additional pay.”

“Demoting”? Because now they won’t be called manager? Ridiculous.

Employees will get either more pay, less hours, or a lower base with opportunity for overtime.

The first two options are good. The last one, at least provides for more honesty in the relationship and, if the minimum wage increases, can negate this strategy by employers.

[quote=“thepsyker, post:6, topic:37752”]
And as such will most likely be expected to make up for that afternoon off somewhere else in the week or use PTO’s to cover the absence, it isn’t a free afternoon off.[/quote]

Yep. Such disingenuous bullshit to suggest that salaried employees get excused from work when necessary due to their salaries status.

Fortin has 14 salaried managers and assistant managers among her 110-member staff. The new rule will create problems for managers, some of them newer hires, who take longer to get their work done, she said. She might have to cut their base pay, meaning they would earn about the same income they do now, even including overtime.

What nonsense! If they’re new hires, naturally they might be slower. It’s called a learning curve. Deal with it.

If they continue to be nonproductive, fire them. That’s her right as an employer. But if they’re good, pay them. Just stop hiding behind “salaries”.

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In my experience, nobody’s more aggressively, vehemently anti-union than the assistant manager who has to choose between the satisfaction of firing the person who’s tardy 3 times a week, and the exhaustion of staffing the photo counter in between stocking shelves all day, while catching up on management chores after closing time.

Actually, this is disastrous for two of my directs as now the larger organization will send their positions back to being hourly so that their activities will be tracked more closely to the satisfaction of the bean counters. Many middle managers, such as myself, were using exempt status to give their directs more flexibility in how they got the job done (work any time of day, often off-site). But, the roles my people fill simply are not $47K+ jobs. This profoundly screws them over, mainly due to loss of flexibility with regards to child care issues. They’re going to have to quit working fairly interesting, highly flexible jobs, and instead take jobs that, if they’re lucky, will pay them similarly, but are closer to home and yet somehow allow extremely flexible work times and locations. The policy change seems to have been made based on considerations that were in effect with the overarching policy was first set into place. It doesn’t seem to recognize how large corporations have used “exempt status” over the years to make some actually pretty good things happen for employees.

No, but it is the freedom to manage your own schedule much, much more than what happens with hourly employees who clock-in/clock-out. As I write elsewhere, this basically ends the jobs of two of my directs. It really is that simple. And you are really, really smoking the good stuff if you think this is going to actually result in more take-home pay for any more than a tiny fraction of those 4 million. It simply is not going to happen.