“If I could sum up why I’m committed to the HR Girlfriends community it would come down to because we are ‘….in this together.'”

~Sana’ Rasul, Chief Girlfriend

E-Alert: House Passes Comp Time Bill

Comp Time and Health Care

On Tuesday, the House passed the Working Families Flexibility Act. The Act would amend the Fair Labor Standards Act to allow employees who work more than 40 hours in a workweek to choose between overtime pay in the applicable pay period, as the law requires now, or time off in the future. That time off in the future (comp time) would be banked at the rate of 1.5 hours for each overtime hour worked. For example, an employee who works 44 hours in a workweek could choose between 4 hours of pay at 1.5x their regular rate, or 6 hours of paid time off in their comp time bank.

If it becomes law, it will only apply to states that do not currently have their own overtime laws requiring premium pay for hours over 40 in a workweek.

In states where comp time becomes legal – if it becomes legal at all – it may be used only if the employee chooses comp time instead of overtime pay. Employers will not be able to make comp time a standard practice or in any way coerce employees to choose comp time instead of overtime wages. Additionally, employees will have the option of asking for the payout of their unused comp time at any time with 30 days’ notice, and unused comp time will have to be paid out at the end of each year. Other limits and worker protections are included as well. Employers will not be required to offer a comp time option.

This bill still needs to pass in the Senate – where it faces an uphill battle – and be signed by the President before it becomes a law.

House Passes New Healthcare Bill

Yesterday the House narrowly passed a revised version the American Health Care Act (AHCA) – the GOP’s bill to repeal and replace the Affordable Care Act. The Senate has the next move. Rather than vote on the House bill, the Senate Republicans plan to write their own version and incorporate elements of the House bill into it.

At present, there are no action items for employers. In its current form, the AHCA keeps the employer mandate requiring employers with 50 or more full-time equivalent employees to offer minimum essential coverage. However, it reduces the employer penalties to zero. So, employer reporting requirements would remain in effect, but there would be no financial penalties for failure to offer minimum essential coverage.

If the AHCA becomes law, dropping coverage could still be financially risky according to some experts. Employers who simply drop coverage once the law goes into effect could, under some limited circumstances, potentially face lawsuits for an impermissible reduction in benefits under the Employee Retirement Income Security Act (ERISA). There is some debate about this, however.

Much remains unknown at this time. The Congressional Budget Office has yet to assess the House bill, and the Senate version of the bill could turn out to be very different, in which case the differences would need to be resolved in a conference committee.

We will be watching closely as this process continues and will keep you apprised of important updates. If a final version the AHCA passes both the House and Senate and is signed by President Trump, we will notify you and explain your options going forward.

Leave a comment

Never miss an opportunity to earn HRCI/SHRM credits, identify a mentor, or connect 1:1 with another HR Girlfriend in your city or across the country.

Subscribe
Notify of
guest
0 Comments
Inline Feedbacks
View all comments
Author picture

HR Girlfriends™ is a Human Resources networking organization dedicated to advancing the practice and culture of people empowerment. Our team of Girlfriends consult, train, educate, develop, share, promote, and advocate for solutions in the field of human resource management.

Are You IN?
Or Are You OUT?

It’s time you join forces with a community of like-minded peers ready to tackle the issues unique to the women of HR.
  • All
  • Affirmation
  • Career Mondays
  • Certification
  • COVID-19
  • CyberSAFE
  • Guest Blogger
  • HR Advisor
  • HR Law Alert
  • HR Q&A
  • HR Reading
  • HR Reel Talk
  • Join Our Team - Apply Now
  • Membership
  • Talent Management
All
  • All
  • Affirmation
  • Career Mondays
  • Certification
  • COVID-19
  • CyberSAFE
  • Guest Blogger
  • HR Advisor
  • HR Law Alert
  • HR Q&A
  • HR Reading
  • HR Reel Talk
  • Join Our Team - Apply Now
  • Membership
  • Talent Management
HR Q&A

Q&A: A remote employee told us they were injured at home during their workday. What are our responsibilities?

When an employee informs you that they were injured while working from home, take the claim seriously and follow your usual procedure for a workplace ...
Read More →
Affirmation

Affirmation: My choices today support my goals for tomorrow

Each day is a reminder that I am one step closer to my goals. Keeping that in mind helps me to stay on track with ...
Read More →
Career Mondays

Career Monday: How to Make the Most of Working from Home

Working from home is becoming much more common. On the surface, it sounds ideal. You can work in your robe while you talk to your ...
Read More →
Share via
Copy link
Powered by Social Snap