Michael Schmidt, vice chair of Cozen O'Connor's Labor & Employment department, discusses the overtime rule on Bloomberg BNA. The Labor Department expects its overtime rule to reduce private claims, but attorneys on both sides of the wage-and-hour bar say the effect on litigation is tough to forecast. “I think” the rise in wage-and-hour filings each year is “going to continue, if not significantly increase even more as a result of the new rules,” said Mike. He cited a few areas that could create more plaintiffs' claims during the transition to the rule changes—employers giving raises above $47,476 to keep workers exempt but without ensuring they perform the requisite job duties; off-the-clock cases in which workers feel pressured to work extra hours despite having their official schedule capped at 40 hours; and a smarter workforce with a greater likelihood to be informed about wage and hour laws.
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