National Council of Nonprofits Survey RESULTS
More than 1,000 nonprofits share aspirations and anxiety related to new overtime rule
We asked you to weigh in on a national survey from our partners at the National Council of Nonprofits and now the results are in. The new federal overtime rules are generating moral support, operational anxiety, and concern for the public among nonprofit organizations providing services on behalf of governments, according to survey responses from more than a thousand nonprofits from all 50 states.
As we’ve mentioned, the U.S. Department of Labor’s Overtime Final Rule, published in late May and effective December 1, will require most for-profit, government, and nonprofit employers to pay overtime to full-time employees earning less than $913 per week (47,476/yearly) regardless of whether they are otherwise classified as white collar workers.
In their new report, The Nonprofit Overtime Implementation Conundrum, the National Council of Nonprofits presents the findings from a national survey it conducted of nonprofits with government grants and contracts. The survey found that a third of respondents (34 percent) reported they will likely reduce staff and a third (33 percent) expect to be forced to cut back on the services offered to the public. While many expressed support for the concept of the new rule, nonprofits with government grants and contracts expressed frustration at being caught between a rock and a hard place: bound by written agreements requiring them to do a certain amount of work at a fixed reimbursement rate when changes in federal wage and hour policy will impose operating expenses to levels that were not anticipated when the agreements were signed. For more information, check out the executive summary, full report, and infographic.
If you are wondering how to get started making this transition at your organization, check out our FREE webinar Navigating the Overtime Final Rule: Guidance From the Experts. This session provides an overview of the new rule related to employee overtime and the considerations nonprofits must assume as they prepare and manage their organizational budgets related to employee cost. You’ll receive answers to the most frequently asked questions, plus guidance for achieving FLSA compliance.
What’s your strategy for addressing the latest DOL rule? Let us know in the comment section below.