Biden-Harris Boost Overtime Pay for 4.3 Million Workers, FTC Cracks Down on Noncompete Agreements

Biden-Harris Administration Takes Action: Minimum Salary for Overtime Pay Set to Increase, Impacting 4.3 Million Workers

Fair Wages for Hard Work: New Rule Ensures Overtime Pay for Hourly Workers, Boosting Income for Millions

According to MarketRealist, In response to concerns about low pay and rising expenses, the Biden-Harris administration plans to raise the minimum salary for overtime pay. This means that workers who earn less than $43,888 a year will get extra pay for working more than 40 hours a week. This change will affect about 4.3 million workers, especially those in jobs like healthcare and finance, where overtime is common.

The new rule mandates that nearly all hourly workers must receive 1.5 times their regular wage for working over 40 hours per week. Presently, only 15% of salaried workers are entitled to this additional compensation, but it’s anticipated that this figure will double. Nevertheless, this proportion remains significantly lower than in the 1970s, when approximately 60% of salaried workers were eligible for overtime pay. Experts assert that this overdue adjustment will notably benefit lower-income families.

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Biden-Harris Boost Overtime Rates for 4.3 Million Workers, FTC Cracks Down on Noncompete Agreements (PHOTO: Investopedia)

FTC Takes Stand Against Noncompete Agreements: New Rule Aims to Empower Workers and Boost Economic Mobility

At the same time, the Federal Trade Commission (FTC) has made a rule to stop noncompete agreements, which prevent workers from getting similar jobs after leaving a company. These agreements affect around 30 million workers in the U.S. The FTC thinks that getting rid of these agreements will help workers switch jobs, earn more money, and even start new businesses. This could mean an extra $524 a year for workers and big savings in healthcare costs. The new rule will start working 120 days after it’s officially published.

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