Jun 09, 2016 - 2:00pm

The Overtime Rule Will Cost Small Businesses Big Time


President, Cuisine Unlimited
Chair, U.S. Chamber Council on Small Business

To the 45th President of the United States

From: Maxine Turner

Dear 45,

When you take office next January, please don’t forget small businesses that are swimming upstream in this tepid economic recovery. We are all just getting on our feet after a difficult recession and now see regulation upon regulation that not only prevents us from fully recovering, but forces us to slow down the growth of our companies in order to adjust to the additional costly regulations imposed upon us. 

One way to help would be reversing the Labor Department’s overtime rule. It raises the level for salaried workers eligible for overtime by more than 100% to more than $47,000.

I agree that the level needs to be increased, but the number in the new rule is much too high for small businesses to absorb.

Small businesses will be forced to make dramatic adjustments. Many employees who are currently salaried professionals or managers are making less than $47,000 a year. They will become hourly employees, forced to closely track their hours with less flexibility in their work schedules.

This will be especially difficult for my catering and event planning business, Cuisine Unlimited. Catering, planning, and running events involve long hours. Problems arise at odd times of the day, and an event can’t suddenly stop because staff runs up against the standard 40-hour workweek. Furthermore, my catering business has seasonal peaks and having my key employees on the clock will cause significant disruptions in my operations.

 

The new overtime rule will make it harder for us to schedule workers appropriately to offer the high-level of service our customers deserve.

Small businesses are important sources of job growth and economic dynamism. Imposing higher labor costs keeps us from growing and creating jobs. Please think about these regulations and rescind this impractical burden. Instead, please support policies that create better conditions for economic growth.

Sincerely,

Maxine Turner
President and founder, Cuisine Unlimited

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About the Author

About the Author

President, Cuisine Unlimited
Chair, U.S. Chamber Council on Small Business

Maxine Turner founded Cuisine Unlimited Catering Service in 1980. In 1985 she opened her first deli operation and expanded to four sites over eight years.