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overtime

U-M puts overtime changes on hold

Dec 1, 2016
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About 2,400 University of Michigan employees will not be getting the raises or overtime eligibility they were expecting today.

The university says that's because a Texas federal court ruled last week to temporarily block  an Obama administration overtime pay regulation that was supposed to take effect on December 1 . 

The new regulation would almost double the current pay cut-off for overtime eligibility, raising it to $47,476.

A Tesla electronic car at a charging station
Austin Kirk / Flickr - http://j.mp/1SPGCl0

This Week in Review, Jack and I look at a lawsuit in which Michigan and 20 other states seek to block a new federal rule that expands overtime eligibility for white-collar workers.

We also discuss a bill that would require more transparency from state lawmakers, and electronic car maker Tesla's lawsuit against the state of Michigan.


Attorney General Bill Schuette
Bill Schuette

 

It's time for another political roundup with Ken Sikkema and Susan Demas​.

Attorney General Bill Schuette joined a lawsuit this week to try to block an overtime pay rule that came out of Washington.

It would require businesses to pay overtime to salary workers who earn less than $47,500 a year. That’s up from about $24,000.

According to Sikkema, “Any of these federal regulations that deal with pay, whether it’s minimum wage or whether it’s overtime pay, are going to be looked at skeptically by Republicans. [Schuette] is not the only one.”

Tracey r / CREATIVE COMMONS HTTP://MICHRAD.IO/1LXRDJM

Michigan is one of 21 states seeking to block the Obama administration's efforts to make more white-collar workers eligible for overtime pay.

The coalition of states filed suit Tuesday in federal court in Texas asking the court to stop a new U.S. Department of Labor rule from taking effect on December 1.  

The U.S. Chamber of Commerce and other business groups also filed a legal challenge to the rule on the same day.

Money
Steve Carmody / Michigan Radio

The White House says more than 100,000 Michiganders could see bigger paychecks, under new overtime rules.

The Department of Labor is essentially doubling the salary threshold for workers who are guaranteed overtime pay.

Starting in December, salaried workers making less than $47,476 will qualify for overtime, if they work more than 40 hours a week.

But some employers just won't be able to absorb those costs, says Wendy Block, with the Michigan Chamber of Commerce.

FLICKR USER MR_WAHLEE https://flic.kr/p/djGtgH

The word has come from Washington: By year's end, new federal rules could bring overtime protection to more than four million American salaried workers – more than 100,000 of them in Michigan. Salaried employees earning up to $47,476 dollars a year will be paid time and a half when they work more than 40 hours a week. This is compared to the current law that states salaried employees must make less than $24,000 to receive overtime.