How will the new orders and regulations in these five areas affect your business and HR policies?
- Overtime pay
- Repeal/replace ACA
- National Labor Relations Act
- Employment Discrimination (EEO)
The Fate of the Obama Administration’s Overtime RuleThe timeline of the change in overtime rules reads like a pinball game, zig zagging from one side to the other. In May 2016, the Department of Labor more than doubled Fair Labor Standard Act’s minimum salary threshold for exemption from overtime pay, affecting an estimated 6 million workers. In addition, the ruling included increases every three years to account for inflation.
One week before the rule was to take effect in December 2016, a federal judge enjoined the increase. On Trump’s first day of office, his administration issued a “regulatory freeze pending review” memo that temporarily postponed the effective date of all published regulations that had not taken effect for 60 days from January 20, 2017. The freeze expires on March 21, 2017, at which point the new administration may issue additional directives.
A New Labor Secretary NomineeOn February 16, 2017, President Trump nominated Alexander Acosta to be the next Labor Secretary. He is the chairman of U.S. Century Bank, which is the largest domestically owned Hispanic community bank in Florida. He is also the dean of Florida International University Law School.Familiar with the Congressional confirmation process, he served as assistant attorney general under President George W. Bush for the Justice Department’s Civil Rights Division from 2003 to 2005.
Acosta was the first Latino to serve as an assistant attorney general.He then served as U.S. attorney for the Southern District of Florida, until 2009. If confirmed, Acosta will be the first Hispanic selected by Donald Trump to serve in the Cabinet.
Coming from a deep background in law, labor relations and education, Acosta has prosecuted high-profile figures and targeting white-collar crime. It is unclear at this point how he will respond to the changes in overtime rules.
Has your company taken any steps to prepare for the overtime rule changes?