Last week, the U.S. House of Representatives passed a bill that would amend the Fair Labor Standards Act of 1938 (FLSA) to provide a choice between compensatory time off or paid overtime for employees in the private sector.
The bill seeks to set a maximum accrual of not more than 160 hours of compensatory time. Employees with fewer than 1,000 hours of service during a period of continuous employment with the employer in the 12 months preceding the date of agreement or receipt of compensatory time off would not be eligible.
There is no need for employers in the private sector to rush to adapt overtime practices as the measure now heads to the Senate. At this time, there is no clear indication from Majority Leader Mitch McConnell, R-KY, as to whether the Senate intends to take up the proposal.