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Retail group applauds lawmaker opposition to overtime rule

June 10, 2016

The National Retail Federation is applauding the lawmakers taking a stand against the proposed federal overtime rule advocated by the federal Department of Labor. So far, 44 senators are publicly against the DOL proposal.

"Retailers are happy to see that our allies in Congress aren't taking their foot off the gas when it comes to trying to stop DOL's reckless overtime rules from going into effect," NRF Senior Vice President for Government Relations David French said in a statement. "Retailers large and small agree with nonprofit organizations, higher education institutions, municipal and county governments, and other employers overtime eligibility will not suddenly lead to overtime pay. Instead, by direction of the labor department, we will be forced align our workforce to limit overtime pay in ways that undermine career opportunities and better futures for both retail associates and retail companies."

The rule would mandate employers to restrict employee hours or reduce base pay in order to compensate for added payroll costs, according to NRF research. Another NRF study claims a majority of retail managers are against the overtime rule.