Associated Builders and Contractors (ABC) today released the following statement in reaction to the release of the U.S. Department of Labor (DOL) Wage and Hour Division’s final overtime rule.

“DOL’s overtime rule will rob employers of needed flexibility and employees of career advancement avenues, and it will have a disruptive effect on the construction industry as a whole,” said ABC Vice President of Legislative and Political Affairs Kristen Swearingen. “The unprecedented increase in the salary threshold may force some contractors to consider switching certain employees from salaried positions to hourly. This change may deprive employees of autonomy in their work schedules and may be perceived as a demotion to employees.

Additionally, the rule’s unprecedented increase in the salary threshold fails to account for disparate income levels in different regions of the
country,” said Swearingen. “This will result in an unreasonable, one-size-fits-all mandate, which will have a vastly different impact on employers in regions with a lower cost-of-living.”

ABC has been a vocal opponent of the overtime rule and submitted comments along with more than 900 ABC members opposing the rule. ABC supported legislation that would prevent DOL from implementing the rule and submitted comments as a member of the Partnership to Protect Workplace Opportunity as well.