On May 3, 2017, the House of Representatives passed H.R. 1180, Working Families Flexibility Act, a law that would amend the Fair Labor Standards Act, to allow employers to give workers paid time off or comp time instead of time-and-a-half overtime pay. Under the Act, comp time could only be provided in lieu of overtime if it is part of a collective bargaining agreement that was negotiated with the labor organization. For non-union employees, the employee must have knowingly and voluntarily agreed to the comp time. There are other conditions such as the employee working a minimum 1,000 hours in a 12-month period before he or she can agree to comp time, as well as limitations, including a maximum accrual of 160 hours of comp time and a mandatory payout of compensation for any unused and accrued comp time by the end of calendar year. See H.R. 1180 at www.congress.gov/bill/115th-congress/house-bill/1180/text.
Republicans will need eight Democratic votes in support of the Working Families Flexibility Act to avoid filibuster in the Senate.
We will be tracking the Working Families Flexibility Act.
Bryan Cave LLP has a team of knowledgeable lawyers and other professionals prepared to help employers assess their wage and hour obligations. If you or your organization would like more information on the proposed Working Families Flexibility Act or any other employment issue, please contact an attorney in the Labor and Employment practice group.