New overtime pay is expected to cost employers up to $664 million following the proposed extended overtime eligibility for workers.
New Overtime Pay to Extend Overtime Eligibility for Workers to Cost Employers Up to $664 Million
New overtime pay extending overtime eligibility for millions of workers would cost employers up to $664 million as the proposed overtime rule would increase new overtime pay for workers earning less than $55,000 annually.
According to a report published in Inc., the new overtime pay would help workers have secure rights to demand their overtime pay every time they work more than the required hours as the new overtime pay would allow workers to receive the pay they deserve after working beyond their working hours.
However, the new overtime pay would cost employers and their businesses up to $664 million following the implementation of the new overtime pay across the country despite the benefits it would provide millions of workers.
Several Businesses Implement New Overtime Pay for Workers Following Extended Overtime Eligibility
Following the extended overtime eligibility, several businesses have already implemented the new overtime pay for workers; however, employers were not required to implement the new overtime pay or change their overtime eligibility.
The recent new overtime pay was not the first time the administration extended overtime eligibility as the Obama administration had already tried the changes, but it was only blocked in 2016, HR Law Watch reported.