New overtime rules may change some county employees’ status
By Daria Daniel
Associate Legislative Director
New overtime pay rules may send counties back to their employee rosters to determine whether salaried "managers" must now receive overtime pay. Under the final overtime rules, issued Aug. 23, an employee classified as an "exempt executive," must either have the authority to "hire and fire" other employees or their recommendations for such promotion or related change in status must be given particular weight. Since state civil service rules are fairly rigid about the procedures state and local government employers must follow to change an individual’s employment status, it’s likely that the pool of county "exempt executives" with such authority is not very broad. Subsequently, many supervisors and managers currently classified as "exempt," who earn less than $100,000 per year, may need to be reclassified. NACo has heard from a few counties concerned by the potential additional costs to their county and in turn taxpaying residents regarding this change.
On the positive side, the new regulations include a "disciplinary docking" provision, which NACo strongly supported, that allows county employers to suspend employees in increments of less than a week without jeopardizing the employee’s exempt status.
Fire, police and EMT overtime pay rights protected
The Department of Labor’s final regulations state that overtime pay for firefighters, police and emergency medical technicians would not be detrimentally affected by the final rule. Furthermore, the final rules emphasize that such employees’ right to overtime pay are protected by the final provisions.
Congressional attempts to overturn DOL final overtime pay rules
Meanwhile, several members of Congress continue to try and reverse the regulatory action taken by the Department and, in effect, nullify the final overtime rules by withholding federal funds for implementation of the final rules. Legislative efforts, largely ignited by labor union groups, are underway to reverse implementation of the final regulations. On Sept. 9, the House passed the FY05 Labor, Health, Human Services and Education Appropriations bill that included an amendment, to block DOL’s final overtime pay rules. Rep. David Obey (D-Wis.), ranking member of the House Appropriations Committee, offered the amendment that would prohibit DOL from spending any money to enforce portions of the new rules that would take away overtime eligibility from workers.
Twenty-two Republicans sided with the House Democrats to pass the amendment. However, the majority of Republican members are confident that the amendment language will be removed from the final bill, during conference negotiations with the Senate. President George W. Bush has threatened to veto the Labor-HHS appropriations measure Ñ the largest annual domestic spending bill Ñ if the Obey overtime pay amendment language remains.
It is important to note that the amendment would not affect increasing the salary threshold income level below which overtime must be paid from $8,060 to $23,660. Meanwhile, The Senate Appropriations Committee has passed a similar provisionLin its Labor-HHS Appropriations bill.
Despite thses efforts to defund the overtime rule, it's important to note that the final overtime regulations are in effect and county governments should be following these new rules. Stay tuned for the latest developments regarding any changes to the current status.
|
