Senator Mike Braun

Indiana Sen. Braun, Colleagues Lead GOP Challenge To Biden’s Overtime Rule

Senator Mike Braun
Senator Mike Braun

A group of 31 Republican Senators has come together to challenge President Biden’s latest labor policy, the Overtime Rule.

This rule, set to be implemented by the Department of Labor, aims to significantly increase the minimum salary threshold for overtime pay, a decision that has sparked widespread concern among entrepreneurs and industry leaders.

The Senators, led by the likes of Mike Braun, Bill Cassidy, and Mitch McConnell, have vowed to use the Congressional Review Act to introduce a disapproval resolution against this rule, which they believe will further cripple small businesses already reeling from the disastrous economic policies of the Biden administration.

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The Overtime Rule, as proposed by the Biden administration, seeks to raise the minimum salary threshold for overtime pay from the current $35,568 to a staggering $58,656 by January 2025. This dramatic increase, coupled with the provision for automatic adjustments every three years, has small business owners across the country deeply concerned.

“When the free market sets the price of labor, opportunity and prosperity are the result. When the federal government sets the price of labor by one-size-fits-all mandates, small businesses are forced to fire employees and close shop to make ends meet,” remarked Senator Mike Braun, voicing the sentiments of his fellow Senators.

The Senators challenging the Overtime Rule have not minced words in their criticism of the Biden administration’s economic policies, labeling them as an “unparalleled disaster for American wages.” They point to the soaring inflation rates, which have surged by 20% since Biden took office, as a direct result of his “federal tax-and-spending binge.”

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“Americans are already struggling to make ends meet under Bidenomics. With inflation at 40-year highs and millions dropping out of the workforce, Biden’s overtime rule pours gasoline on the fire,” lamented Dr. Bill Cassidy, echoing the concerns of small business owners nationwide.

The Senators have also highlighted the precedent set by the Biden administration’s disregard for judicial rulings, drawing parallels to the president’s decision to proceed with the controversial student loan debt forgiveness program despite legal challenges.

Moreover, they argue that the proposed salary threshold of $55,068 is significantly higher than the one proposed by the Obama administration, which was ultimately deemed an invalid extension of executive authority by the federal courts.

The challenge to the Overtime Rule has garnered support from a diverse coalition of industry groups, including the Heritage Action, the International Franchise Association, and the National Restaurant Association. These organizations have expressed their concerns about the rule’s potential to harm small businesses, particularly those in rural and low-cost-of-living regions.

“The National Restaurant Association has serious concerns with the impact the overtime rule will have on restaurant operators, especially the significant cost increases that come with it so soon after an increase just four years ago,” said Sean Kennedy, the Executive Vice President of the National Restaurant Association.

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The Senators leading the charge against the Overtime Rule have turned to the Congressional Review Act as their primary tool for challenging this policy. This legislative mechanism allows Congress to review and potentially overturn federal agency rules, providing a crucial avenue for small businesses to voice their concerns and seek relief.

“We’re leading a challenge to this new Biden rule because this White House’s out-of-touch economic policies have been an unparalleled disaster for American wages,” stated Senator Mike Braun, underscoring the urgency of the situation.

The Senators have also highlighted the potential impact of the Overtime Rule on job opportunities and wage growth, warning that it could lead to small businesses being forced to choose between laying off workers or raising prices on families.

“When Joe Biden takes away these options from small businesses, the employees looking to get better jobs and better pay will suffer the most,” cautioned Senator Tom Cotton, echoing the concerns of many small business advocates.

The Senators have also drawn attention to the regional disparities and the burden of automatic increases every three years, which they argue fail to account for the unique challenges faced by small businesses, particularly in rural and low-cost-of-living areas.

“Here we go again with another one-size-fits-all approach that simply doesn’t make sense for small businesses, especially those in rural states like Mississippi where the cost of living is far lower,” remarked Senator Cindy Hyde-Smith, emphasizing the need for a more nuanced and tailored approach to labor policies.

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