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Floor Statements

Walberg Statement: Debate on H.R. 6094, the Regulatory Relief for Small Businesses, Schools, and Nonprofits Act

WASHINGTON, D.C., September 28, 2016
I was proud to introduce this legislation to provide small businesses, colleges and universities, and nonprofit organizations much-needed relief from a fundamentally flawed rule that will do more harm than good.

It’s unfortunate this legislation is necessary in the first place. For over two years, Republicans have urged the department to update our nation’s overtime rules responsibly. These rules serve as important protections for America’s workers, but the existing regulatory structure is extremely outdated and complex.

The department should have used this opportunity to modernize overtime rules for the 21st century workforce. They should have listened to the countless small businesses owners, heads of nonprofit organizations, state and local leaders, and college and university administrators who warned that an extreme and partisan rule would lead to harmful consequences.

But the department failed to take a balanced approach, and refused to listen. Instead, they stuck by a Washington-knows-best mentality and finalized a rule that was exactly what so many hardworking men and women had feared. The rule doubles the salary threshold for overtime eligibility and requires further automatic increases every three years. And then to make matters worse, the department even kept in place the same-old regulatory maze that has existed for decades.

As the administration pats itself on the back and rushes to implement a rule in just a few short months, those who will face the real-world consequences are scrambling to meet the unrealistic December 1st deadline.

Ernie MacEwen, a South Rockwood small business owner in my district, said he already opted to hire one less employee this year in anticipation of the rule. He said he has heard from other small business owners who don’t even know the rule exists. Karen Richard, who owns Culver’s Restaurants in Ann Arbor and Jackson, is worried the rule will limit opportunities for the young people she employs.

Adrian College is trying to make tough decisions that could impact tuition and services for students, and the time crunch is making the process even more challenging. Bethany Christian Services in Grand Rapids is concerned the rule will undermine support for children in need.

These stories aren’t unique to Michigan. These are the types of stories that are unfolding across the country. And yet, the administration continues to quickly move toward the December 1st implementation date in total disregard for the challenges facing the small businesses, schools, and nonprofit organizations serving our communities.

The administration should abandon this rule before it limits opportunities for workers; hurts young people striving for an affordable education; burdens hardworking small business owners; and jeopardizes vital services for vulnerable Americans. It’s time to go back to the drawing board and work toward the balanced, responsible approach we’ve been fighting for from the start.

Time is running out. The administration and Members of Congress should do the right thing and provide more time to those struggling to implement this rule before an arbitrary and unrealistic deadline. I urge my colleagues to support this commonsense legislation, and to help deliver the relief small businesses, schools, and nonprofits in each and every one of our districts so desperately need.

 

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