Community colleges across the country could feel a disproportionate impact of the Obama administration's recent proposals to change overtime pay rules. "That's due to the comparatively low pay of many of their administrative and support staffs, as well as the financial pressures the institutions are under as state budgets have tightened," according to an article in Inside Higher Ed., by Ashley A. Smith.
The Department of Labor recently released new regulations that more than double the pay threshold at which employees qualify for overtime wages. The new regulations increase, to $47,476 from $23,660, the level at which salaried employees will be eligible for overtime. The rule also stipulates that the threshold levels will be raised every three years to reflect changes in the cost of living, the article reports.
The piece includes a number of quotes from leaders at two-year schools, many from rural areas where funding is scarce.
We all want our employees to receive adequate compensation, but some schools may be in a bind. If your pay schedule for administrative and support staff is low, the effect could be greater. The rules may also cause schools to rethink whether they require overtime during peak periods such as registration.