The Obama Administration is proposing to raise the income threshold under which employers are required to pay overtime from $23600 to $50400 and predictably the economic right has started to squeal. And in so doing have tried to advance two cases: one this change will cost jobs, and two nobody will actually get a raise. The first case is fallacious, the second is at best deceptive. And to show that you don’t have to use fancy economic theory (a good thing because I don’t have the chops), instead you just have to just simple logic. But rather than try to lay out every possible branch on that logic tree I propose to let Angry Bear readers give either the affirmative or negative argument their best shot even as I through in some logic snippets of my own.
(For those unaware of the basic issue, under current law employers have to pay overtime to most hourly workers after 40 hours on the job. And also to salaried workers who don’t meet one or more of many exceptions. But the biggest and broadest exception is based on total salary, if you make more than $23,600 and are not protected via some specific contract (for example if, cough, cough, you are in a union) your hours are not limited to 40 hours per week, instead you may be routinely expected to work 50 even 60 hours a week for the same base pay. The Obama Administration proposes to raise that to $50400.)
Let the Games Begin!