 | EXECUTIVE OFFICE OF THE PRESIDENT
OFFICE OF MANAGEMENT AND BUDGET
WASHINGTON, D.C. 20503
| STATEMENT OF ADMINISTRATION POLICY
(THIS STATEMENT HAS BEEN COORDINATED BY OMB
WITH THE CONCERNED AGENCIES.)
June 9, 1998
(House Rules)
|
H.R. 2888 - Sales Incentive Compensation Act
(Fawell (R) IL and 52 others)
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The Administration opposes H.R. 2888, because it would deny an estimated
1.5 million sales employees overtime pay when they work extra hours. The
low salary guarantee provided in the bill is not fair compensation for the
loss of overtime pay. In addition, the multi-test exemption in the bill as
reported is overly complex. It would be extremely difficult and burdensome
for employers, affected employees, and the Department of Labor to
implement, and could lead to needless and costly litigation. The bill
would benefit employers at the expense of employees' existing overtime
protections and would remove a basic Fair Labor Standards Act principle --
to limit excessive hours of work by employees and provide them just
compensation for working overtime.
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