Gov. Bevin directs Kentucky to join with 20 other states in challenging overtime rule
09/21/2016 04:21 PM
Twenty-one states, including Kentucky, have joined together to challenge a federal rule change which would effectively mandate more salaried workers get paid for overtime.
First-year Republican Gov. Matt Bevin released a statement on Wednesday decrying the federal rule as unconstitutional and potentially costly to the state and businesses.
“This new Obama Administration rule is another example of the federal government’s never-ending attempt to encroach upon the rights of individual states. This is a direct violation the Tenth Amendment to the Constitution of the United States,” Bevin said in a statement.
The rule is set to take effect on Dec. 1 and would require employers pay overtime to full-time salaried workers earning less than $47,500 a year. The rule would double the current overtime threshold of $23,660.
Bevin contends that the change would “force many private sector employers to lay off workers.”
In addition to the 21 states, the U.S. Chamber of Commerce and other business groups have also filed a separate complaint against the overtime rule.
In a statement to Fortune Magazine, U.S. Labor Secretary Thomas Perez said the new overtime policy stands on “sound legal and policy footing” and the lawsuits were an attempt to take fair pay from workers.
Perez told the news outlet that just 7 percent of full-time salaried employees are currently eligible for overtime pay, which is a drop from 62 percent in 1975.
“I look forward to vigorously defending our efforts to give more hardworking people a meaningful chance to get by,” Perez said in a statement.
Download the full 30 page complaint filed on Wednesday here.
Other states joining in on the complaint are Alabama, Arizona, Arkansas, Georgia, Indiana, Iowa, Kansas, Louisiana, Maine, Michigan, Mississippi, Nebraska, New Mexico, Nevada, Ohio, Oklahoma, South Carolina, Texas, Utah and Wisconsin.
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