LaHood rails against overtime rule

By Gary Scott on May 18, 2016 at 12:59pm

Jacksonville’s Congressman is expressing concern about a new Department of Labor rule regarding overtime.

The rule, which is being reviewed by the White House this week, says anyone who is salaried earning up to $50,440 annually is eligible for overtime pay, although that number could change. The current threshold is $23,660.

Congressman Darin LaHood spoke to Gary Scott on WLDS’ “AM Conversation” on Monday. He says he’s getting complaints from many small and medium-sized businesses.

“It may work in an urban area, like New York City or Chicago or San Francisco, but in Jacksonville or Springfield, it has an effect on them. If you are a car salesman or you work on a commission basis, you maybe get a cell phone or car, you get these perks and benefits because you’re salaried. Once you go to an hourly person, then you’re going to lose those benefits,” says LaHood.

“What we said was, let’s try to do it on a graduated [basis], let’s try to do it in a tiered approach. But, the Obama administration has so far refused to negotiate with us on that,” he adds.

LaHood says businesses in Illinois are under a lot of stress with the fiscal climate of the state.

“To add this on is really going to hurt jobs and prohibit or deter employers from hiring more if they have to comply with this,” he claims.

LaHood adds the rule will affect non-profit groups.

You can listen to the full interview with the Congressman by visiting this story on our website.