Westbank Louisiana News

U.S. Senator Bill Cassidy, M.D. (R-LA), the ranking member of the Senate Health, Education, Labor, and Pensions (HELP) Committee, strongly criticized the Department of Labor's new overtime rule, stating that it will have detrimental effects on American families and businesses. The rule raises the threshold for salaried employees to be eligible for overtime to $58,656, a 65 percent increase from the previous level set during the Trump administration. Cassidy expressed concerns that the policy will lead to job losses, lower wages, and increased prices for consumers.

Cassidy highlighted the impact of the rule on small businesses, workers, and families, stating, "Americans continue to feel the effects of Bidenomics as they struggle to make ends meet. This policy throws gasoline on the fire. The new overtime rule forces businesses to make a choice: eliminate jobs, gut wages, or raise prices on families already feeling the affordability crunch under President Biden."

The Senator pointed out that colleges and universities, as non-profits and public entities, will also be negatively affected by the rule, facing layoffs and tuition hikes due to the increased costs. He emphasized that the new regulation will worsen the existing economic challenges faced by many Americans.

The Biden administration's decision to raise the overtime threshold has drawn comparisons to a similar move made by the Obama administration, which was ultimately struck down by federal courts in 2017 for exceeding its authority. Cassidy noted that the new rule is expected to face legal challenges and create uncertainty for employers.

In conclusion, the new overtime rule implemented by the Biden administration has sparked criticism from Senator Cassidy and others, who warn of its potentially harmful consequences on workers, businesses, and families.