2013: Schweikert Voted To Allow Private-Sector Employers To Offer Their Employees Compensatory Time Off Instead Of Overtime Pay. In May 2013, Schweikert voted for a bill that would have, according to Congressional Quarterly, "allow[ed] private-sector employers to provide non-exempt employees compensatory time off at a rate of 1.5 hours per hour of overtime work. To be eligible, employees must have worked at least 1,000 hours in a 12-month period. Employees would [have been] limited to 160 hours of comp time and employers would [have been] required to provide monetary compensation by Jan. 31, for any unused comp time accrued during the preceding year. The bill's provisions would [have] sunset five years after enactment. As amended, it would [have] require[d] the Government Accountability Office to periodically report to Congress on the use of comp time allowed under the bill." The vote was on passage of the House's version of the Working Families Flexibility Act of 2013. The House passed the bill by a vote of 223 to 204. The Senate took no substantive action. [House Vote 137, 5/8/13; Congressional Quarterly, 5/8/13; Congressional Actions, H.R .1406]
Under The Legislation, Employees Would Earn 1.5 Hours Of Compensatory Time Off Per Overtime Hour Worked, Limited To 160 Hours Per Year, With Any Unused Time Paid Out At Year's End As Cash. According to Congressional Quarterly, "Sponsored by Education and the Workforce Committee member Martha Roby, R-Ala., the bill would allow private sector employers to offer employees compensatory time (at a rate of 1.5 hours per hour of overtime work) rather than overtime pay. [...] The bill would let private sector employees such as clerical, maintenance or inside sales workers accrue up to 160 hours of comp time a year, and employers would be required to pay cash wages for any unused time at year's end." [Congressional Quarterly, 5/13/13]
Currently, Private-Sector Employers Are Required To Pay Non-Exempt Workers At Least 1.5 Times Their Hourly Rate For Each Hour Of Overtime They Work. According to Congressional Quarterly, "The Fair Labor Standards Act of 1938 established the 40-hour workweek, and it requires employers to give most employees who work more hours compensation in the form of overtime pay of no less than one-and-a-half times their regular wage rate. Exceptions to this overtime pay requirement are provided for executive, administrative and professional employees." [Congressional Quarterly, 5/3/13]
Since 1985, Government Workers Have Been Allowed To Receive Compensatory Time Off Instead Of Overtime Pay. According to an opinion blog in the Washington Post, "Rep. Martha Roby (R-Ala.) introduced the bill in April to allow workers in the private sector receive comp time instead of the standard time-and-a-half pay for overtime hours. A 1985 revision of the Fair Labor Standards Act allows government workers to do so." [Washington Post Opinion Blog, 5/6/13]
Bill's Sponsor Said "For Some People, Having Paid Time Off Is Far More Valuable Than Money." According to Congressional Quarterly, "'Sponsored by Education and the Workforce Committee member Martha Roby, R-Ala., the bill would allow private sector employers to offer employees compensatory time (at a rate of 1.5 hours per hour of overtime work) rather than overtime pay, which has been required since the 1938 Fair Labor Standards Act (PL 75-718). [...] We can't legislate another hour in the work day, but we sure can give moms and dads a little relief,' Roby said during floor debate. 'For some people, having paid time off is far more valuable than money.'" [Congressional Quarterly, 5/13/13]
Bill's Supporters Pointed To Ability To "Cash Out" At Any Time As Protection For Workers. According to a Diana Reese blog post on The Washington Post's "She The People" blog, "It's a tough call. Will employers abuse the proposed changes in the law? I asked [bill co-sponsor Rep. Lynn] Jenkins [R-KS] about worker protections and she replied in an e-mail, "A worker can take their comp time whenever they choose as long as they provide reasonable notice in order to avoid disrupting business operations. Workers can also cash out on their comp time for any reason at any time and the employer will have 30 days to fulfill this request." [Reese blog post, Washingtonpost.com's She The People, 5/6/13]
Tritch Op-Ed: Bill Allows Employers To Increase Their Profits By Pressuring Employees To Take Compensatory Time. According to an post by Teresa Tritch on the New York Times editorial page editor's blog, "Employers and workers are supposed to agree on the arrangement, but there is nothing to stop an employer from discriminating against those who prefer payment by cutting back on their overtime hours. Nor would employers face any real deterrent against forcing unpaid overtime on workers who fear losing their jobs if they object. The recourse for coerced workers would be to sue, a far-fetched and unaffordable option for most people. For employers, then, the bill is a way to impose extra work at no additional cost, effectively shifting what would otherwise be worker pay into corporate profits." [Tritch blog post, NYTimes.com Taking Note, 5/10/13]
Opponents Said "Cash Out" Ability Was Like A No-Interest Loan To The Employer. According to Congressional Quarterly, "Republicans insist that workers could 'cash out' their accrued compensatory time whenever they choose, a provision that Democrats have likened to a no-interest loan because, they say, the pay would not account for inflation." [Congressional Quarterly, 5/13/13]
Tritch Op-Ed: Government Employers Lack Profit Motive, Lowering Their Need To Push Compensatory Time Over Overtime Pay. According to an post by Teresa Tritch on the New York Times editorial page editor's blog, "The bill's Republican supporters have stressed that government workers can accrue comp time in place of overtime pay, implying that private sector workers are missing out on a perk enjoyed by cossetted public sector workers. Wrong. Government employers don't need to turn a profit, and thus do not have the same incentive as private sector employers to push workers into unpaid overtime." [Tritch blog post, NYTimes.com Taking Note, 5/10/13]