Staff Reports
The Biden administration has proposed a new rule that would make an additional 3.6 million U.S. employees eligible for overtime pay. This action resurrects a court-scuttled Obama administration policy initiative. It appears that the Democrats cannot get enough of their unsuccessful policies.
The Biden administration will propose a new rule Wednesday that would make 3.6 million more U.S. workers eligible for overtime pay.https://t.co/LUN6kBB8OI
— FOX40 News (@FOX40) August 30, 2023
Employers would be required to pay overtime to so-called white-collar workers making less than $55,000 annually under this new rule. This is a substantial increase from the current threshold of $35,568 that was established by the Trump administration in 2019. As if that were not enough, the rule also proposes automatic annual salary increases. It appears that they want to punish successful enterprises.
Obviously, labor advocates and liberal legislators are ecstatic about the expansion of overtime protections. According to them, wage stagnation and inflation have eroded these safeguards over time. But let's be honest: this is merely the left's latest attempt to redistribute wealth and undermine the free market.
Many managerial employees in industries such as retail, food, hospitality, and manufacturing, among others, would now satisfy the new minimum wage requirement. It is yet another illustration of how the Democrats seek to control every aspect of our economy.
Julie Su, acting secretary of labor, stated in a statement that she has received complaints from workers about long hours and low pay. Rather than relying on government assistance, perhaps these workers should attempt to find a better job.
It is anticipated that business groups will oppose this new rule, just as they did with a comparable regulation during the Obama administration. They argue that establishing the minimum wage too high will make it more difficult for small businesses to attract and retain workers. This is common logic, but the Democrats appear to lack it.
Democratic legislators and unions are also unhappy with the proposed $55,000 threshold. They desired an even greater height. It is never enough for these radical leftists.
Ultimately, this new rule would align the threshold with the 35th percentile of full-time salaried employees' earnings. It is yet another example of how the Democrats undermine the free market and punish success. The National Association of Manufacturers, however, is prepared to contest this expansion of overtime coverage. Let us trust that they are able to stop this destructive policy.
