President Barack Obama's announcement that he wants the Department of Labor to change the rules for who could demand overtime pay was met wit trepidation from some in the business community but joy from labor unions.
"It's about time," said Lori Pelletier, chief elected officer of the Connecticut AFL-CIO. "It's something that hasn't been done since 1975."
The president wants the Department of Labor to adopt a rule that would increase the salary threshold for someone to earn overtime from about $23,000 per year to $50,000.
Obama has argued that the threshold hasn't been changed and it hasn't evolved with inflation.
In Connecticut, about 40,000 people could become eligible to earn overtime, according to the Connecticut Department of Labor.
Pelletier said the employees who would be eligible hold positions like assistant store manager and shift manager in retail stores.
"If they’re going to have people come in Saturdays or Sundays and stay extra, you need to understand that it’s impacting family life, so it should cost a little bit more," Pelletier said.
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The National Restaurant Association released a statement saying the group had concerns about what the decision would mean for labor costs.
"It seems as if these proposed rules have the potential to radically change industry standards and negatively impact our workforce," the statement says, in part.
The Department of Labor won't have a final decision on the overtime proposal until next year.
