Sounds simple, but the devil is in the math. Companies have contended that as long as the worker's annual salary was at least $75,000, he or she was exempt from overtime pay, regardless of how many hours the employee clocked. Labor advocates have countered that the number of hours worked matters very much: They argued that the regulation in fact required companies to pay $36 or more for each hour worked, or else the employee was due OT.
Labor advocates said the law, which applies only to highly skilled tech workers, opens the door for companies to force employees to work unlimited hours without paying them anything extra.
"Instead of hiring another worker, companies can just save money by making their existing workers clock twice as many hours," said Caitlin Vega, legislative advocate for the California Labor Federation.
The new law, however, does not clarify one controversial point about the overtime exemption: whether extra compensation such as stock options, bonus or profit-sharing count toward the $75,000 annual figure. So if you're a highly skilled tech worker making $60,000 a year in salary and $20,000 more in extra compensation that's paid out in equal monthly installments, who knows if you're due overtime?
...read more at the Tag Blog and LA Times
0 comments:
Post a Comment