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Bills to Delay DOL Overtime Rule Introduced Before Recess

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Bills to Delay DOL Overtime Rule Introduced Before Recess

October 3, 2016

Last week, prior to breaking for more than a month-long recess, several new bills were introduced in the House and Senate that would delay the implementation of the Department of Labor's Overtime Exemption rule. ANCOR continues to believe that these bills have little chance of success, as the Administration has promised to veto any that pass out of both houses of Congress. We continue to advocate for the Disability Community Act (H.R. 5902), which would not block or delay the rule, but that would temporarily increase Medicaid funding to help providers comply with this and other targeted federal rules. Here is the update on other bills that have been introduced recently. 

Regulatory Relief for Small Businesses, Schools, and Nonprofits (H.R. 6094/S. 3462) - This bill was introduced on September 21, and passed by the House on September 29. It would delay implementation of the DOL overtime exemption rule for six months, making the effective date June 1, 2017. On September 29, a companion bill was introduced in the Senate. The Senate bill was not voted on before Congress recessed.

Overtime Reform and Review Act (S. 3464) - This bill was introduced on September 29. The Senate bill is a modified version of the Overtime Reform and Enhancement Act (H.R. 5813) which was introduced in the House on July 14, 2016. Both bills would create a phase-in for the rule and block automatic increases. With the new Senate bill, there would also be a "pause year" after the first, substantial increase to allow for the impact to be absorbed, reviewed and measured. Additionally, it would require the Government Accountability Office to conduct a comprehensive study after the initial increase. Finally, it would exempt non-profit, Medicaid and Medicare dependent providers as well as state and local governments after the first increase, unless the Administration certifies that the increase did not increase part-time work, or negatively impact workplace flexibility, benefit structures, career advancement opportunity or job growth. 

While ANCOR advocated for delayed or phased-in implementation during the rulemaking process, we do not believe there is a realistic path forward for legislation that seeks to block or delay the rule at this time and are not working on behalf of any bills other than the Disability Community Act (H.R. 5902). ANCOR continues to advocate for increased funding to comply with the rule, which we believe will be fully implemented on December 1, 2016. We encourage our members to continue to urge their elected officials to sign on as a cosponsor of the Disability Community Act. For more information and resources on how to contact your Members of Congress, contact ANCOR's GR Manager, Doris Parfaite-Claude at dparfaite-claude@ancor.org.