Hotel Industry to Labor: Overtime Increase Too High, Too Fast
Washington, D.C. -- The American Hotel & Lodging Association (AH&LA), the sole national association representing all segments of the 1.8 million-employee lodging industry, today filed official comments regarding the Department of Labor's (DOL) proposed changes to our nation's overtime rules. AH&LA's comments highlight the lodging industry's concerns with DOL's proposal to more than double the salary threshold of employees eligible for overtime pay from $23,660 to $50,440. The comments further urge the Department of Labor to use a past precedent and methodologies that would result in a much more reasonable salary threshold. To read the full comments, please click here.
"The hotel industry is responsible for nearly 2 million jobs in communities across America and offers desirable assets that attract employees from all walks of life, including flexible hours, career growth, training opportunities, and good-paying jobs and benefit packages," said Brian Crawford, AH&LA Vice President of Government and Political Affairs. "While the lodging industry supports a fair and equitable working environment for both employees and employers, we caution the unintended consequences of raising the threshold too high, too fast. The majority of jobs offered in our industry already have starting wages above the minimum wage and employers currently have the flexibility to set salary parameters that foster a strong team environment, which allow for good benefits, higher pay, and workable schedules. Meddling in this employer-employee balance will surely cost business and stability.
"Further, the proposed changes will severely impact small business owners, especially those in rural communities, who operate under tight budget margins that can't offset the substantial increase in labor costs the proposed changes will undoubtedly create for employers. This will result in unintended consequences that will ultimately harm the very employees that the rule purports to help, preventing their advancement and opportunity and keeping the industry from continuing to grow and create jobs. AH&LA urges the DOL to reevaluate its proposed rule given the significant consequences it could have on the hotel industry and its hardworking employees and employers."
For more information on the Department of Labor's proposed rule, please click here.
About the American Hotel & Lodging Association (AHLA)
The American Hotel & Lodging Association (AHLA) is the largest hotel association in America, representing more than 30,000 members from all segments of the industry nationwide – including iconic global brands, 80% of all franchised hotels, and the 16 largest hotel companies in the U.S. Headquartered in Washington, D.C., AHLA focuses on strategic advocacy, communications support, and workforce development programs to move the industry forward. Learn more at www.ahla.com.
