Rep. Chu Applauds New Rule Expanding Overtime Pay

Statement

Today, President Obama officially announced a Department of Labor rule that will extend overtime pay to nearly 5 million American workers. Under the proposed rule, workers who earn up to $50,440 a year will qualify to earn time and a half when they work more than 40 hours a week. The current salary threshold, which has not been updated since 1975, is $23,660. Rep. Judy Chu (CA-27) released the following statement:

"I applaud the Administration's announcement to update federal overtime regulations. This is an important step in recognizing the humanity and needs of the American worker by restoring the 40-hour work week. Increasingly, employers have been demanding more of workers without increasing compensation, chipping away at a cornerstone of worker's rights that goes back to the New Deal. This undermining of our labor system is unfair both to employees and their families. After years of stagnant wages, American workers deserve to see the fruits of their labor reflected in their paychecks. By increasing access to overtime pay, it is estimated that 5 million middle-class Americans can expect to finally receive the compensation they fairly deserve. This is middle-class economics, and it's the right action by the President. Now, it is time for Congress to follow suit by taking action to raise wages for all workers, create jobs, and increase opportunity."

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