A
bill that would allow employers to offer employees compensatory time instead of
overtime wages to employees has started a conversation in Congress that deals
with work-life issues, a public policy official said April 29 at the 2013 WorldatWork
Total Rewards Conference in Philadelphia.
The
Working Families Flexibility Act (H.R. 1406), which was approved April 17 by the
House Committee on Education and the Workforce, would amend the Fair Labor
Standards Act to allow private-sector employers to offer compensatory paid time
off to hourly employees who work more than 40 hours a week in
lieu of cash wages of time-and-a-half the worker's regular
rate of pay.
Conversations
about work-life issues have not been held before at the congressional level, said
Cara Woodson Welch, vice president of policy and public affairs at WorldatWork.
Comp time would be offered at a rate of 1.5 hours for each hour of overtime worked, and
the worker and the employer would need to agree in writing at the time of the arrangement. Any unused time
would be paid in cash at year-end. Workers would be able to cash out the
accrued time upon request.
The
House is likely to approve the measure, but the proposal would probably spend
more time in committees in the Senate, where it has no sponsorship, Welch said.
The importance of the bill, which was introduced April 9
by Rep. Martha Roby (R-Ala.), is
that a conversation was started on the Republican side of the House, where
workplace flexibility issues have not been addressed before, she said.
Republicans said the bill would provide families with
much-needed flexibility, but Democrats said it would take advantage of already-struggling
hourly workers.
Among the concerns
are employers forcing employees to receive compensatory time off instead of earning
overtime pay, said Claiborne Guy, a policy analyst at WorldatWork. Another concern
is that an employer might not pay an employee for accrued comp time upon
leaving the company, he said.
By Kristin Washington