How Will the New Overtime Ruling Affect Truck Driving?
A recent preliminary injunction was issued concerning a lawsuit filed by the National Retail Federation back in September. The impending changes to a federal overtime pay rule were blocked, and this move may have a positive effect on the trucking industry.
The changes made by the US Department of Labor in May to overtime pay laws had a noticeable effect on “white collar” workers. The change’s effect on trucking has to do with the rule being based on a pay threshold.
According to analysts within the trucking industry, this rule may have had a substantial effect on administrative positions within the trucking industry. Dispatchers, logistics managers, and other professionals have been directly affected by this change.
The NRF-headed lawsuit maintained that the annual minimum salary for workers to be exempt from overtime based on the new rules ($47,476) was in violation of labor standards. This was due in large part to the presence of automatic increases every three years per current requirements, which would have placed an even greater burden on companies.
ATA CEO and President Chris Spear noted that this is one of many regulations that would’ve had a negative impact on trucking. The ruling would’ve added over $100 million in government costs as well.