retail news in context, analysis with attitude

The Associated Press reports that Attorneys General from 21 states are suing the US Department of Labor, challenging a new rule that changed the criteria for overtime pay, saying that by making as many as four million higher earning workers eligible, the federal government "would burden private and public sectors by straining budgets and forcing layoffs or cuts in working hours."

The AP story notes that "the lawsuit came the same day that the US Chamber of Commerce and more than 50 other business groups filed a legal challenge against the regulation.

The new rule was set in May, and would slated to go into effect at the end of the year. It would have allowed full-time salaried employees to earn overtime if they make up to $47,476 a year, more than double the previous level of $23,660 a year.
KC's View:
I have mixed emotions about this one. Twenty three grand isn't all that much money ... if a person is trying to support a family of four on that kind of money, they're actually below the poverty line. And so I think it probably makes sense to change the criteria.

But we're also living in an economy where labor is tight, and so one would imagine that market forces would handle this to some extent ... and that there ought to be different rules in different parts of the country.

Like I say, I'm conflicted.