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Regulations in Relation to Small Businesses (view source)
Revision as of 19:23, 10 February 2016
, 19:23, 10 February 2016→Effects & Consequences
*Few workers would actually get bigger paychecks
**"A recent report released by the NRF said that employers were much more likely to cut wages and bonuses or reduce hours to avoid paying overtime. If employers made no changes to their pay and scheduling structure, an option the NRF acknowledged is highly unlikely, overtime costs would run businesses $9.5 billion under the proposed changes" [http://www.latimes.com/business/la-fi-obama-overtime-rules-explainer-20150630-htmlstory.html (LATimes)]
*"Employers can respond to these higher costs in several ways. First, they can cut the base or regular wage for workers who will likely receive these overtime payments. Second, they can cut existing workers’ hours and hire new workers who will also work fewer than 40 hours per week. Third, they can cut their hours or their jobs entirely and invest in a machine that can do the same job, perhaps more cheaply. Fourth, they can keep the workers but pass on the costs to consumers in the form of higher prices. Fifth, they can keep the workers, pay them the time and a half premium and bear the brunt of the higher costs." [http://bamsouth.com/new-overtime-pay-regulations-helpful-or-harmful-to-the-employees-supposedly-assisted/ (BAM)]
===Solutions===
