By Eric Stock and Terry James
BLOOMINGTON – In a move that U.S. Rep. Darin LaHood, R-Dunlap, said would raise the cost of doing business, the Labor Department is proposing a rule that would raise the threshold for overtime eligibility from about $24,000 per year to nearly $50,000.
LaHood said more than doubling the minimum salary eligible for overtime pay is too much all at once.
“We anticipate the Obama administration will try to implement it here in the next two weeks,” LaHood said. “We are continuing to try to work with them to ask them to have some flexibility to work with businesses on this, to maybe do it in a more gradual approach or a more reasonable approach.”
LaHood visited with local McDonald’s Restaurant franchise owner Bob Dobski on Monday and worked the drive-through window at the McDonald’s at 3102 E. Empire St.
Dobski said the new rule would mean some workers would lose overtime hours.
“It’s going to hurt them with having to clock in and clock out and watch overtime instead of getting a job done,” Dobski said.
Dobski added the new rule could raise the price of a Big Mac.
“Our business in McDonald’s is very labor intensive and food costs – that’s our two buggiest expenses,” Dobski said. “We have to keep those two things under control, sand that would definitely raise it, yes,”
LaHood said all matters involving wages should be handled locally.
“I think if you look at the minimum wage debate, if people want to raise that to $15 per hour like they did in Chicago or Seattle or Los Angeles, that makes sense in an urban area, that doesn’t make sense in Bloomington-Normal,” LaHood said.
Eric Stock can be reached at [email protected].
