Follow by Email

Wednesday, April 5, 2017

Workers are never better off under comp time than overtime—and they are typically worse off [feedly]

Workers are never better off under comp time than overtime—and they are typically worse off
http://www.epi.org/blog/workers-are-never-better-off-under-comp-time/


Once again, a bill promoting comp time is being paraded out by congressional Republicans and will be the subject of a hearing in the House this morning. The bill would allow private sector employers to offer comp time at time-and-a-half in lieu of overtime pay when an employee works more than 40 hours in a week. It is being touted by congressional Republicans as a boon to worker flexibility, but do not be fooled—everything the comp time bill purports to provide for workers is actually already available under the overtime provisions of the Fair Labor Standards Act. The bill only provides a new employer right to avoid paying workers the overtime they have earned.

Here are a couple scenarios to show workers are never better off under the comp time bill.

First, the easy example: consider the very common case of the low- or moderate-wage workers whose paycheck is not enough for them to make ends meet, and who would always prefer to work extra hours to get extra pay. Under comp time, these workers give up their right to overtime earnings in exchange for future time off. This is not what they need or want and they are unambiguously worse off under comp time than overtime.

But what about a worker who doesn't need or want the overtime pay and prefers the time—are they better off under the comp time bill than under current law which provides overtime pay for working more than 40 hours a week? Nope! At best they are back at neutral.

Read more


 -- via my feedly newsfeed