How Employers Should Handle the New Overtime Rules

Pay options, scheduling and morale are three important issues construction employers will need to address with the new overtime rules

Construction Dive

Pay options, scheduling and morale are three of the most important issues employers will need to address now that the Department of Labor has made the new FMLA overtime rules official. Many employers will need to either raise the salary of certain employees or reclassify them and grant overtime pay.

The rules will affect companies differently depending on their size, according to Tara Wolckenhauer, Division Vice President of Human Resources for ADP. Wolckenhauer recommends five strategies all employers should do including review employee classifications first and monitor employee hours. Then, once you know how many of your employees actually work more than 40 hours per week you can compare the cost of raising an employee's salary or reclassifying them to nonexempt.

When it comes to scheduling, employers will need creative strategies to schedule their employees and control overtime hours while keeping productivity up. Technology may be the answer to this problem.

In addition, employers need to communicate well with their employees throughout this transition period in order to keep employee morale up.

(more on these three overtime rule concerns and how to tackle them...)

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