Carrot-Top Industries President Dwight Morris announced the company will uphold the overtime rule that was intended to go into effect December 1, 2016. The new wage rule follows a March 13, 2014 Presidential Memorandum directing the Labor Department to update overtime standards. The proposed statue alters the Fair Labor Standards Acts by raising the threshold of those eligible for overtime from $455 per week ($23,600 annually) to $913 per week ($47,476 annually). The rule also updated the total annual compensation level raising it from $100,000 to $134,000. The new overtime-pay rule will make overtime pay available to 4.2 million American workers.
In November, businesses from 21 states filed suit against the Obama Administration to block the new rule on grounds that it “places a heavy burden on their budgets”. The U.S. District Court of East Texas issued an injunction delaying implementation of the statute. The Obama administration has appealed the ruling.
Dwight Morris, founder and owner of Carrot-Top Industries, a family owned business which employs around 60 people in Hillsborough, NC, stated that the company plans to move forward with procedures needed to honor and the new rule. “Carrot-Top is committed to everyone the company employs and values the time our employees spend giving Carrot-Top their best. The overtime-pay rule enhances our company allowing employees to be compensated for working beyond normal 40 hour work week and creating a better work-life balance.” With this new rule, many American will not have to choose between pleasing their employer by working additional (unpaid) hours or spending time with their families. Several companies and some states, like California, have stated that the salary threshold will be maintained regardless of the injunction and upcoming ruling. Carrot-Top supports America’s workforce and encourages legislation that strives to make our nation great.