The Partnership to Protect Workplace Opportunity (PPWO) submitted comments to the U.S. Department of Labor in response to proposed changes in criteria for employee exemptions from overtime requirements.

The letter states reclassification of employees will:

• harm the ability of employers to provide, and employees to take advantage of, flexible scheduling options;
• result in employees in the same job classification (for the same employer) being treated differently based on regional cost-of-living differences;
• limit career advancement opportunities for employees;
• decrease morale for those employees who are demoted to non-exempt status, particularly where peers in other locations remain exempt;
• reduce employee access to a variety of additional benefits, including incentive pay;
• deter employers from providing newly reclassified employees with mobile devices and remote electronic access, further limiting employee flexibility;
• increase FLSA litigation based on off-the-clock and regular rate of pay claims; and
• introduce other legal and operational issues, such as increased administrative costs.

Read the letter for the detailed reasoning behind these perspectives. IWLA signed onto this letter and is following the DOL response closely. Stay tuned for more updates on this issue and register to attend the IWLA Council Summit & Regulatory Fly-in, Oct. 21 & 22, in Washington, D.C. for more details.