Ted Hollis Quoted in CNN Article About New DOL Rule on Overtime Pay for Salaried Workers
Ted Hollis, a Quarles & Brady Labor & Employment partner in the firm’s Indianapolis office, was quoted in a CNN article about a new rule passed by the U.S. Department of Labor that increases the salary threshold for eligibility for overtime pay.
The new rule, expected to affect approximately 4 million U.S. workers, increases the threshold to the equivalent of a $43,888 annual salary starting July 1 and to $58,656 starting January 1, 2025. Hollis addressed the impact the new rule could have on employers. An excerpt:
Business groups are expected to fight the effort, as they successfully did when the Obama administration attempted to significantly hike the threshold. Trade associations quickly pushed back on the latest proposed rule when it was released in August, saying it would raise their members’ costs and hurt their operations.
“I suspect that such substantial increases may be a particular burden for many smaller businesses, forcing some to choose between cutting jobs and raising prices,” said Ted Hollis, a partner at Quarles & Brady, a law firm. “Some businesses that cannot do either may be forced to close, resulting in unintended but predictable side effects of this government action.”