Overtime would begin after fewer weekly hours for covered workers

The proposal would lower the weekly hours threshold for overtime pay in stages, reaching 32 hours. The rule would apply to employees covered by the federal overtime law, subject to its exceptions. For hours worked beyond the threshold, an employee would receive at least one and a half times their regular rate. The first 38-hour threshold would begin at least 180 days after enactment; the threshold would fall each year until it reaches 32 hours after the third year.

The proposal would require higher overtime rates for workdays longer than eight hours. The rule would apply to employees covered by the federal overtime law, subject to its exceptions. Hours beyond eight in a workday of up to 12 hours would be paid at least one and a half times the regular rate. Hours beyond 12 in a workday would be paid at least twice the regular rate.

Employers could not reduce a newly covered worker's total weekly pay or benefits because the worker becomes eligible for overtime under the phase-in. This protection would cover employees newly brought under the overtime rule by the phase-in.