Overtime Rule Hurts 21st- Century Economy and Job Creation, says CTA
February 16, 2017
Article Summary
The following statement is attributed to Gary Shapiro, president and CEO, Consumer Technology Association (CTA)™, regarding today's House Education and Workforce Committee hearing examining "Federal Wage Policies in the Twenty-First Century Economy":
The following statement is attributed to Gary Shapiro, president and CEO, Consumer Technology Association (CTA)™, regarding today's House Education and Workforce Committee hearing examining "Federal Wage Policies in the Twenty-First Century Economy":
"The Obama Administration’s overtime rule is a prime example of good policy intentions with harmful real world consequences that could have devastating effects for small businesses, startups and the people they want to hire. The Department of Labor’s proposed rule disregards the realities of running a small business or startup, while ignoring how the rule would choke U.S. innovation. Startups – especially tech companies – are a primary source of job creation in the U.S., but most of them cannot pay the higher salaries of more established companies that would result from the overtime rule. More, the overtime rule’s one-size-fits-all mandate leaves no flexibility for the 21st Century businesses that don't rely on a traditional timecard pay structure.
"Policymakers must confront the new reality is that enterprise and commerce work very differently in today's technology-driven economy. We live in a time where your place of business isn't required to be fixed to where you live and a growing number of Americans are pursuing flexible work schedules. Federal, state and local policies must acknowledge these new realities or risk imposing unintended consequences that could stifle and suffocate our economy and American innovation."
"The Obama Administration’s overtime rule is a prime example of good policy intentions with harmful real world consequences that could have devastating effects for small businesses, startups and the people they want to hire. The Department of Labor’s proposed rule disregards the realities of running a small business or startup, while ignoring how the rule would choke U.S. innovation. Startups – especially tech companies – are a primary source of job creation in the U.S., but most of them cannot pay the higher salaries of more established companies that would result from the overtime rule. More, the overtime rule’s one-size-fits-all mandate leaves no flexibility for the 21st Century businesses that don't rely on a traditional timecard pay structure.
"Policymakers must confront the new reality is that enterprise and commerce work very differently in today's technology-driven economy. We live in a time where your place of business isn't required to be fixed to where you live and a growing number of Americans are pursuing flexible work schedules. Federal, state and local policies must acknowledge these new realities or risk imposing unintended consequences that could stifle and suffocate our economy and American innovation."