4 changes in US labor law that affect salary

As a result of the health care reform undertaken by President Obama (better known as Obamacare), you can notice a change in your salary. Resource GoBankingRates singled out 4 directions in which salary levels change.

Rule regarding overtime pay

In May 2016, President Obama announced the final rule governing laws regarding overtime pay. This change next year will affect 4 million American workers. The final rule changes the level of salary and compensation for management, administrative positions and professional employees, from which overtime work begins. Overtime pay is one and a half times the normal hourly rate for each hour worked after 40 hours on a normal work week.

If before workers were paid processing fees for earnings up to $ 23,5 thousand per year, then, starting from December 1 2016, all those who earn up to $ 47,4 thousand annually can receive them.

The higher wage rate set by the Final Rule will increase payroll checks for many Americans who have not previously received overtime pay. However, some employers may make changes to their salary payments in order to reduce their salary costs.

For example, your employer may simply change your salary to the level of a new increased minimum of $ 47 476, in order not to pay you overtime. Or you may be asked to use your working time more efficiently and not work over 40 hours a week so as not to get overtime pay.

A sudden increase in the minimum wage for federal counterparties at 2016

In accordance with Presidential Decree No. 13658, the Department of Labor increased the minimum wage for federal contractors to $ 10,15 / hour, for the period from January 1 to December 31. Employees working for tips should be paid a minimum bid of $ 5,85 / hour, and if the total amount of the tip and tip does not reach the minimum of $ 10,15 / hour, the employer is obliged to cover the difference by increasing wages.

2010 Affordable Care Act

According to statistics, in 2015, 15 of millions of Americans worked for themselves, and as of July 2016, 7,8 of a million US residents remained unemployed. Although the Affordable Health Act affects all Americans, it can be a burden for the savings of those who work for themselves or do not work at all.

According to the Law on Affordable Health Care, which is better known as Obamacare, if you have not purchased health insurance, you will have to pay a fine to the state for each month in which you, your spouse and dependent family members did not use health insurance.

In 2016, such a fee for the lack of health insurance is the larger of the following two amounts:

• 2,5% of your household income (maximum is the annual premium for the Bronze Health Plan), or
• $ 695 per adult and $ 347,50 per child up to 18 years (maximum $ 2 085).

In recent years, this fee has increased - in 2015, it was 1% of household income or $ 325 per adult and $ 162,50 per child.

The change in the minimum wage in 2009 year

The minimum hourly wage rate was fixed at $ 7,25 in 2009, so that employees at the minimum rate and at full employment began to receive $ 120 per month more. Previously, the federal minimum rate was $ 6,55 (it was raised to this level in the 2008 year, from $ 5,85 in the 2007).

The minimum hourly wage, established in accordance with the Fair Labor Standards Act, is an important factor in the American economy. Approximately 870 000 Americans aged 16 and above received no more than the minimum salary in 2015, while 1.7 million people worked for pay below this minimum level, according to the US Department of Labor Statistics Department. After increasing the minimum rate in 2009, millions of workers in 30 states began to get more for their work.

As of March 2016, in the 29 states and the District of Columbia the minimum rate was above the established federal minimum. This year, the city of New York and the District of Columbia passed laws that would require a minimum hourly wage of $ 15 per hour for the 2018 and 2020 years, respectively. A similar law was passed in California - it orders employers with more than 26 employees to increase the minimum wage to $ 15 per hour by January 1 of 2023.

In some major cities, such as Seattle and Chicago, the hourly rate will also increase to $ 15, but step by step. If the same law is adopted in other states and cities, then many American workers will begin to receive higher wages in the near future.

See also:

The salary of a scavenger in New York is higher than that of graduates of prestigious colleges

The most unexpected profession in the United States with salaries over $ 100 thousand

Rating of US colleges in salaries received by their graduates

American companies refuse annual salary bonuses

Do you want more important and interesting news about life in the USA and immigration to America? — support us donate! Also subscribe to our page Facebook. Select the “Priority in display” option and read us first. Also, don't forget to subscribe to our РєР ° РЅР ° Р »РІ Telegram  and Instagram- there is a lot of interesting things there. And join thousands of readers ForumDaily New York — there you will find a lot of interesting and positive information about life in the metropolis.