The House has voted by 229-197 to pass a Republican bill that allows employers to offer compensatory time off rather than time-and-a-half wages for overtime hours.  A few days ago, the House Committee on Education and the Workforce voted 22-16 along party lines to approve the Working Families Flexibility Act (H.R. 1180, S. 801).  This is a rather perplexing move, given that the Trump Administration has not yet publicly decided whether it will support the overtime rule introduced by the previous Administration, which would make four million workers eligible for overtime.

U.S. Capitol Building
Copyright: mesutdogan / 123RF Stock Photo

This bill amends the Fair Labor Standards Act to allow employers and workers to voluntarily agree to 1.5 hours of compensatory time for every hour of overtime worked, for up to 160 hours of leave. The requested time would have to be approved by the employer.  This law would cover private sector workers; since 1985, the FLSA has permitted public sector employees to be given compensatory time in lieu of being paid cash overtime.

The Democrats strongly criticize the legislation, alleging the measure would help employers coerce workers to pass on overtime pay.  Congressman Scott (D-Va) stated that “H.R. 1180 doesn’t give employees any rights they don’t already have.  Most employees can already take time off without pay. The bill does, however, create a new right for employers to withhold employees’ overtime pay.”  The Republicans respond by asserting there are protections in the bill to stop employers from taking these kinds of actions.

A number of conservative groups and the Trump Administration have supported the bill.  One of its sponsors, Representative Byrne, asserts the bill’s purpose is to offer workplace flexibility.  He stated that “all we are trying to do is give workers a choice.  Policies written in the 1930s that are out of step with the needs of the 21st century workforce shouldn’t stand in the way of flexibility for workers and their families.”

Now it goes to the Senate.

The Takeaway

I think this is a good thing.  I know that many workers would rather have paid time off rather than receiving the overtime wages because the overtime is significantly taxed and the workers prefer time off, whether to spend with family or otherwise enjoy.

I can understand that…