Walberg’s Regulatory Relief for Small Businesses, Schools, and Nonprofits Act Passes the House
September 28, 2016
Washington, D.C.—The House of Representatives today passed Congressman Tim Walberg's (MI-07) bipartisan legislation, the Regulatory Relief for Small Businesses, Schools, and Nonprofits Act, to require a six-month delay in the effective date of the Department of Labor's new overtime rule. Without congressional action, on December 1, 2016, drastic changes to federal overtime policies will take effect, resulting in harmful consequences for Michigan workers, small businesses, nonprofit organizations, and colleges and universities. Click here to watch Congressman Walberg's remarks on the House floor.
"We all agree we need to modernize our nation's overtime rules, but small businesses, nonprofits, and colleges and universities should not be hurt in the process," said Congressman Walberg. "The department needs to abandon this flawed rule and pursue the balanced approach we've been fighting for from the start. Instead, they are forcing those who have to deal with the real-world consequences to make significant changes before an arbitrary December deadline. While the department continues to ignore widespread concerns, the House has taken an important bipartisan step to provide hardworking Americans more time to implement this expansive rule. The administration should do the right thing and approve this much-needed delay."
"Though we have been critical of the overtime pay ruling, because we strongly believe it will increase the administrative costs of public generosity-dependent and free service-providing nonprofits like us, we appreciate ongoing bipartisan efforts to delay its implementation by six months," said Chad Audi, president and CEO of 107-year-old Detroit Rescue Mission Ministries. Dr. Audi added that the anticipated delay "will give us considerable time to make some difficult adjustments that will hopefully minimize the potentially negative impact on our budget and service delivery."
"We certainly want all our employees to be well remunerated, but we prefer to do so in a budget-friendly atmosphere, while keeping our administrative costs below 20 percent. It is common knowledge that individual and family donors tend to dislike and disengage from nonprofits with high administrative costs," concluded Audi.
"Absorbing the additional costs resulting from the new overtime rule presents a tremendous challenge for institutions of higher education across the country, including Adrian College," said Jeffrey Docking, President of Adrian College. "From the cost of tuition to provided services, this rule will have far-reaching implications for our students, employees, and community as a whole. Additionally, we are concerned with the limited time frame to implement such a sweeping change to administrative policy and encourage any efforts to delay the rule's harmful consequences. We applaud Rep. Walberg's leadership in getting this bipartisan legislation passed in the House."
"One of the great rewards of owning a small business is creating opportunities for young people in our community to learn the value of hard work and help our team members pursue an education," said Karen Richard, owner of Culver's Restaurants in Ann Arbor and Jackson. "I am worried the new overtime rule will dramatically limit opportunities for the young people I employ to grow, advance in the workplace, and gain managerial experience. Delaying it would be a welcome development for small business owners and our employees."
"The Overtime Rule has not even gone into effect yet, and I have already opted to hire one less employee this year. I am a classic example of how this rule is going to cost Michigan, and the entire country, jobs," said Ernie MacEwen, small business owner in South Rockwood. "This rule was incredibly under publicized, and I have talked to many small business owners who don't even know that it exists. If the looming December 1st deadline stands, many owners will be in violation of the rule and will face expensive fines."
"On behalf of Bethany Christian Services, we are pleased to support the Regulatory Relief for Small Businesses, Schools, and Nonprofits Act," said Bill Blacquiere, President of Bethany Christian Services in Grand Rapids. "We appreciate Rep. Walberg's efforts to delay the Department of Labor's new overtime rule that would make drastic changes to federal overtime policies. As an organization that is committed to family preservation, foster care, adoption, and child welfare, we are very aware that extreme changes to overtime rules can have a deleterious effect on our workplace flexibility and ability to perform services for children. We encourage Congress and the Administration to adopt modernized overtime rules that help non-profits like ours work most effectively on behalf of those most in need."
"We all agree we need to modernize our nation's overtime rules, but small businesses, nonprofits, and colleges and universities should not be hurt in the process," said Congressman Walberg. "The department needs to abandon this flawed rule and pursue the balanced approach we've been fighting for from the start. Instead, they are forcing those who have to deal with the real-world consequences to make significant changes before an arbitrary December deadline. While the department continues to ignore widespread concerns, the House has taken an important bipartisan step to provide hardworking Americans more time to implement this expansive rule. The administration should do the right thing and approve this much-needed delay."
"Though we have been critical of the overtime pay ruling, because we strongly believe it will increase the administrative costs of public generosity-dependent and free service-providing nonprofits like us, we appreciate ongoing bipartisan efforts to delay its implementation by six months," said Chad Audi, president and CEO of 107-year-old Detroit Rescue Mission Ministries. Dr. Audi added that the anticipated delay "will give us considerable time to make some difficult adjustments that will hopefully minimize the potentially negative impact on our budget and service delivery."
"We certainly want all our employees to be well remunerated, but we prefer to do so in a budget-friendly atmosphere, while keeping our administrative costs below 20 percent. It is common knowledge that individual and family donors tend to dislike and disengage from nonprofits with high administrative costs," concluded Audi.
"Absorbing the additional costs resulting from the new overtime rule presents a tremendous challenge for institutions of higher education across the country, including Adrian College," said Jeffrey Docking, President of Adrian College. "From the cost of tuition to provided services, this rule will have far-reaching implications for our students, employees, and community as a whole. Additionally, we are concerned with the limited time frame to implement such a sweeping change to administrative policy and encourage any efforts to delay the rule's harmful consequences. We applaud Rep. Walberg's leadership in getting this bipartisan legislation passed in the House."
"One of the great rewards of owning a small business is creating opportunities for young people in our community to learn the value of hard work and help our team members pursue an education," said Karen Richard, owner of Culver's Restaurants in Ann Arbor and Jackson. "I am worried the new overtime rule will dramatically limit opportunities for the young people I employ to grow, advance in the workplace, and gain managerial experience. Delaying it would be a welcome development for small business owners and our employees."
"The Overtime Rule has not even gone into effect yet, and I have already opted to hire one less employee this year. I am a classic example of how this rule is going to cost Michigan, and the entire country, jobs," said Ernie MacEwen, small business owner in South Rockwood. "This rule was incredibly under publicized, and I have talked to many small business owners who don't even know that it exists. If the looming December 1st deadline stands, many owners will be in violation of the rule and will face expensive fines."
"On behalf of Bethany Christian Services, we are pleased to support the Regulatory Relief for Small Businesses, Schools, and Nonprofits Act," said Bill Blacquiere, President of Bethany Christian Services in Grand Rapids. "We appreciate Rep. Walberg's efforts to delay the Department of Labor's new overtime rule that would make drastic changes to federal overtime policies. As an organization that is committed to family preservation, foster care, adoption, and child welfare, we are very aware that extreme changes to overtime rules can have a deleterious effect on our workplace flexibility and ability to perform services for children. We encourage Congress and the Administration to adopt modernized overtime rules that help non-profits like ours work most effectively on behalf of those most in need."