Obama's Proposal to Extend Overtime Pay to Millions of Workers

On Monday President Obama unveiled a proposal to bump the ceiling for those eligible for overtime pay.  Under the current rule, the threshold salary is only 23,660.00 for guaranteed overtime pay. President Obama's proposal doubles the current ceiling, calling for the threshold to be raised to $50,440.00.

By raising the ceiling, millions of workers will now be eligible to earn compensation in exchange for overtime hours worked.  The proposed rule aims to combat income inequality.

Read President Obama's piece on the proposed rule, which will likely take effect in 2016, at http://www.huffingtonpost.com/barack-obama/a-hard-days-work-deserves-a-fair-days-pay_b_7691922.html.

Update (7/3/15): On Wednesday Labor Secretary Thomas Perez said that he believes the new overtime proposal will be published in the Federal Registrar around July 6. The employer community is asked to provide input, especially on how the new rule would impact the workplace. The comment period lasts 60 days once the proposal is published, which would put the end of the comment period around September 4.