Serrano Decries New Overtime Rules for

“Hurting Working Families”

Bronx, NY
, August 24, 2004—Today, Congressman José E. Serrano (D-NY) expressed his concern over the Bush Administration’s new regulations on overtime pay that will cut the pay and lengthen the hours for workers making as little as $23,660.  A recent study by the Economic Policy Institute shows that the regulations could deny overtime rights to at least six million workers at a time when household incomes are down, prices are up, and there is a 1.8 million private-sector jobs deficit.

“These regulations will result in a pay cut for millions of working Americans,” said Serrano.  “In 2000, overtime pay accounted for about a quarter of the income of employees who worked overtime.  Now, in 2004, Republicans are telling workers: No Pay for Extra Work.  The regulations, which I fought and voted against, will hurt workers right here in the
Bronx
, from pre-school teachers to local restaurant supervisors.” 

Nationwide, the Economic Policy Institute study found that the Bush regulations deny overtime pay to 30,000 nursery and pre-school teachers, 1.9 million low-level working supervisors in fast food restaurants, lodging and retail stores, and more than 900,000 employees without a college or graduate degree who will have their status changed to “professional employee” because their employers will now be able to substitute their work experience for a college degree.  In addition, anyone designated a “team leader” on a “major project” by their employer would be denied overtime as well, even if they are not a supervisor, which could strip nearly 2.3 million workers of their overtime protections.  In a boon to well-connected special interests, the regulations also deny overtime to 160,000 workers in the financial services industries, 130,000 chefs, and 87,000 computer programmers. 

“1.8 million private-sector jobs have been lost nationwide since George Bush took office, including 244,400 here in
New York
,” said Serrano.  “At a time when working families are feeling the pinch of the President’s failed economic policies, it is unthinkable that the Administration is putting into place overtime regulations that cut the pay that these families depend on.”