A new Federal rule that allows millions more workers to collect overtime pay goes into effect in three weeks.
It will be a boost to some worker’s wallets and others will keep the same pay but work fewer hours.
Still South Carolina is among 21 states fighting the rule because of the time-frame for implementation.
The new rule would make time-and-a-half will mandatory for anyone earning less than $47,476 a year starting December 1st.
Dagmara Bruce, the HR Director at USC Upstate says the handful of workers who learned they got a pay raise so they could remain salaried were thrilled.
But she says the vast majority will keep their pay, and be limited to 40 hours which she says could make managers more watchful and demanding.
“They’re going to be like, get to work. I mean, it’s not going to be at your own pace, you can’t now work through lunch, it’s going to be much more strict.”
The Department of labor estimates that in SC, 156,000 more workers will get overtime protection. Nationally that number’s more like 4 million.
The industries most affected by the new Fair Labor Standards Act rule will likely be retail and hospitality.
David Evette with Quality Business Solutions, an HR out-sourcing agency in Traveler’s Rest says the five month time-frame given to implement the changes, was “not fair.”
“I think number one there needed to be more time before this came into play so they could look at that from all angles, and then two, to kind of prepare for the bottom line and do the analytical work that they need to do to figure out what the actual cost is going to be,” said Evette.
21 states including South Carolina are suing the federal government for more time, but with a current threshold of just over $23,000 that hasn’t been changed in more than a decade, supporters say the new rule can’t come soon enough.
Employers who do not comply will be fined. But there is no word on whether they will be granted a grace period as businesses iron out new payroll systems.
For the most part it will be up to the workers to sound the alarm if employers are trying to skirt the new overtime rules.