NAA and Coalition's Letter to House of Representatives Regarding H.R. 7367, the Overtime Pay Flexibility Act

NAA and a coalition of 84 organizations submitted a letter to the House of Representatives regarding H.R. 7367, the Overtime Pay Flexibility Act. The letter urges The House to pass this bill which would protect workers, employers, and the economy from the ill-considered and ill-advised regulation put forth by the Department of Labor (DOL) while preserving DOL’s authority to make future adjustments to the overtime rules as appropriate.

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https://protectingopportunity.org/
protectingopportunity.org

March 6, 2024

Dear Members of the House of Representatives:

The Partnership to Protect Workplace Opportunity (“PPWO” or “Partnership”) and the 84 undersigned organizations urge your support of H.R. 7367, the Overtime Pay Flexibility Act, which would prohibit the Department of Labor (“DOL”) from finalizing, implementing, or enforcing its proposed rule titled “Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales, and Computer Employees,” published in the Federal Register on September 8, 2023 (“Proposed Rule”). This legislation, introduced by Representative Burlison, would protect workers, employers, and the economy from this ill-considered and ill-advised regulation while preserving DOL’s authority to make future adjustments to the overtime rules as appropriate.

PPWO is a coalition of a diverse group of associations, businesses, and other stakeholders representing employers with millions of employees across the country in almost every industry. Formed in 2014, the Partnership is dedicated to advocating for the interests of its members in the regulatory debate on changes to the overtime regulations under the Fair Labor Standards Act. PPWO’s members believe that employees and employers alike are best served with a system that promotes maximum flexibility in structuring employee hours, encourages employees’ career advancement opportunities, and provides clarity for employers when classifying employees.

If allowed to be finalized, DOL’s Proposed Rule will dramatically and negatively impact businesses, nonprofits, colleges and universities, states, cities, towns, and public schools as well as the workers they employ and the consumers, students, and people they serve. The Proposed Rule would force the reclassification of millions of employees from salaried to hourly. This change means these employees will lose access to critical benefits, their hard-fought status in the workplace, opportunities for career advancement, flexible work arrangements, and potentially their jobs entirely. These consequences will be disproportionally borne by entry level workers, particularly those from rural and economically struggling areas or those graduating with degrees that do not traditionally command high salaries. Moreover, the costs and organizational changes required to comply with the Proposed Rule could immediately destabilize an economy that is still vulnerable following the COVID-19 pandemic, and DOL has failed to provide any evidence that current regulations, which were last updated only four years ago, are insufficient in protecting American workers. The employer community has repeatedly cautioned DOL about the real-world consequences of its proposed changes to the overtime regulations, but these concerns have been ignored.

The Overtime Pay Flexibility Act would require DOL abandon its misguided Proposed Rule, safeguarding the American economy from its disastrous repercussions, protecting workers’ jobs, benefits, and future career growth, and shielding American businesses in all sectors from the administrative costs and burdens of the Proposed Rule. Meanwhile, the bill preserves DOL’s authority to make future adjustments to the overtime rules as appropriate. If the Department decides to move forward with a rule in the immediate future, it will need to initiate a new rulemaking process.

PPWO and the undersigned organizations urge Members of the House of Representatives to support this legislation. We urge Congress to require DOL to abandon this dangerous proposal and go back to the drawing board for any changes it wishes to make to the overtime pay regulations.

Sincerely,

4A's, The American Association of Advertising Agencies

AASA, The School Superintendents Association

Agricultural Retailers Association

AICC, The Independent Packaging Association

Air Conditioning Contractors of

America American Bakers Association

American Bankers Association

American Bus Association

American Car Rental Association

American Council on Education

American Foundry Society

American Hotel & Lodging Association

American Pipeline Contractors Association

American Society of Travel Advisors (ASTA)

American Staffing Association

American Trucking Associations

AmericanHort

Associated Builders and Contractors

Associated Equipment Distributors

Associated General Contractors of America

Association of School Business Officials International (ASBO)

College and University Professional Association for Human Resources

Construction Industry Round Table

Education Market Association

Electronic Transactions Association

Energy Marketers of America

FMI - The Food Industry Association

Foodservice Equipment Distributors Association

Heating, Air-conditioning & Refrigeration Distributors International

HR Policy Association

IAAPA, The Global Association for the Attractions Industry

IHRSA - The Health & Fitness Association

Independent Electrical Contractors

Independent Insurance Agents & Brokers of America

Independent Lubricant Manufacturers Association

International Bottled Water Association

International Foodservice Distributors Association

International Franchise Association

International Warehouse Logistics Association (IWLA)

ISSA, The Worldwide Cleaning Industry Association

Manufactured Housing Institute

National Apartment Association

National Association of College Stores

National Association of Convenience Stores

National Association of Electrical Distributors

National Association of Professional Insurance Agents

National Association of Wholesaler-Distributors (NAW)

National Club Association

National Cotton Council

National Council of Chain Restaurants

National Council of Farmer Cooperatives

National Demolition Association (NDA)

National Federation of Independent Business (NFIB) National Grocers Association

National Lumber & Building Material Dealers Association

National Marine Distributors Association

National Multifamily Housing Council

National Newspaper Association

National Public Employer Labor Relations Association

National Ready Mixed Concrete Association

National Restaurant Association

National Retail Federation

National RV Dealers Association (RVDA)

National Small Business Association (NSBA)

National Stone, Sand & Gravel Association

National Utility Contractors Association

National Wooden Pallet & Container Association

NATSO, Representing America's Truckstops and Travel Centers

Outdoor Power Equipment and Engine Service Association

Pennsylvania Food Merchants Association

Power & Communication Contractors Association

Saturation Mailers Coalition

SIGMA: America's Leading Fuel Marketers

Small Business & Entrepreneurship Council

Textile Care Allied Trades Association

The National Association of Independent Colleges and Universities (NAICU)

The Transportation Alliance

Tire Industry Association

TRSA - The Linen, Uniform and Facility Services Association

U.S. Chamber of Commerce

Work Colleges Consortium

Workplace Policy Institute

Workplace Solutions Association

World Millwork Alliance


Download a PDF of this Letter