World
US uncovers plan to ensure overtime pay for 3.6 million workers
The U.S. Department of Labor releases a proposed rule that would require employers to pay overtime premiums to workers who earn a salary of less than $1,059 per week, or about $55,000 per year.
Washington: The administration of U.S. President Joe Biden on Wednesday moved to extend mandatory overtime pay to 3.6 million salaried workers, going even further than an Obama-era rule that was struck down in court.
The U.S. Department of Labor released a proposed rule that would require employers to pay overtime premiums to workers who earn a salary of less than $1,059 per week, or about $55,000 per year.
The current salary threshold of about $35,500 per year was set by the Trump administration in a 2020 rule that worker advocates and many Democrats have said did not go far enough.
The proposed rule would not affect overtime eligibility for workers who are paid hourly.
Jessica Looman, who heads the Labor Department office that enforces wage laws, said the proposed rule was necessary to ensure that workers are fairly compensated.
"For too long, many low-paid salaried workers have been denied overtime pay, even though they often work long hours and perform much of the same work as their hourly counterparts," Looman said in a statement.
U.S. wage law requires employers to pay eligible workers one and one-half times their regular rate of pay when they work more than 40 hours in a week.
Salaried workers who earn above the salary threshold may still be eligible for overtime pay if they do not primarily perform management-related duties.
Several states including California and New York have salary thresholds for determining overtime eligibility that are higher than the current federal standard.
The Labor Department in 2016 doubled the salary threshold to about $47,000. But a federal judge in Texas the following year said that ceiling was so high that it could sweep in some management workers who are exempt from overtime pay protections.
Courtesy: Reuters
-
Sports 1 day ago
Srilanka beats Pakistan in Hong Kong Super Sixes Tournament final
-
Regional 1 day ago
CM Punjab unwell, treatment at Sharif Medical Complex
-
World 21 hours ago
Two Iran guards killed in chopper crash during combat
-
Sports 1 day ago
Indian wicketkeeper-batsman Wriddhiman retires from all formats
-
Pakistan 2 days ago
PPP will continue to play role for freedom of press, says Bilawal
-
Pakistan 1 day ago
CM Maryam to leave for London on Nov 5
-
Pakistan 2 days ago
Four terrorists killed in South Waziristan IBO
-
Sports 1 day ago
First ODI: Australia beat Pakistan by two wickets