
As President Obama promised, a new rule would make 5 million more Americans eligible for overtime pay.
Many workers say it’s a welcome change. But businesses say employees could see negative, unintended consequences.
Barrett Zenger has managed a music store in Corpus Christi, Texas, for the past seven years, where he oversees two dozen employees, stocks inventory and fills in for sales clerks who call in sick.
He averages 62 hours of work a week, but because he’s a salaried manager, he isn’t paid for any extra hours worked.
“As of right now, there is a zero tolerance for overtime. I’ve been written up for employees hitting overtime,” he says.
Zenger earns more than $23,660 a year. So under existing law, his employer can exclude him from earning overtime pay.
But the president’s proposal would more than double the minimum salary level to $50,440, meaning Zenger’s salary would either have to increase, or he would get paid for those extra hours.
Want to know more? Got the drop at NPR . . .