Posted in: Industry News

News from NAM

Posted on Tuesday, April 1, 2014

Overtime Pay Changes to the Fair Labor Standards Act

The President recently issued a Memorandum directing the Secretary of Labor to change existing rules regarding who and how to qualify for overtime pay under the Fair Labor Standards Act (FLSA). The current rules for overtime pay lay out a test based on a threshold weekly salary (currently set at $455/week), as well as whether an employee performs duties in a certain job category (management, supervisory), which then would exempt the employee from overtime pay. Although the details have yet to be specified, the Memorandum directs the Secretary of Labor to significantly alter this test by increasing the threshold weekly salary amount as well as altering the job category exemptions.

It is anticipated that the Labor Secretary will propose new rules in the coming weeks and the National Association of Manufacturers plans to respond and oppose these rule changes through the notice and comment process. This latest proposal is yet another example of how this Administration fails to understand the financial stress and pressure they are placing on businesses.

OSHA’s Public Disclosure Rule Won’t Deliver a Safer Workplace

On March 10, 2014, the NAM filed comments with the Occupational Health and Safety Administration urging the agency to withdraw a proposed rule that would require employers to report injury and illness data more often and allow the agency to release the raw data to the public. It points out the flaws in the proposed rule and questions whether the agency has the authority under the Occupational Safety and Health Act (OSH Act) to publicly release raw workplace safety data.

The NAM is concerned that releasing raw data will lead to misunderstandings and mischaracterizations about an employer or an entire industry’s safety record. The data OSHA is proposing to release will provide no context behind the reports and will very likely result in misuse— either unintentionally or otherwise.

At this point, OSHA will be required to review the comments submitted and will amend the rule or affirm as written based upon the comments it receives. While it is unclear when the proposed rule will be finalized, it could potentially be sometime this summer.

Visit for a copy of the Coalition for Workplace Safety (CWS) letter to OSHA on the proposed “Improve Tracking of Workplace Injury and Illness” rule.