Both 2016 party candidates for President spoke about increasing the federal minimum wage recently as Republican Presidential Nominee Donald Trump stated "The minimum wage has to go up. People are -- at least $10, but it has to go up.” While his rival Democratic Presidential Nominee Hillary Clinton “supports a $12 federal minimum wage”.
The federal minimum wage for covered nonexempt employees is $7.25 per hour effective July 24, 2009. 31 states independently set a minimum wage, 29 exceed the federal minimum, while 2, Georgia, and Wyoming set a wage lower than the federal rate. Employees in these states are paid the higher of minimum wages.
With impending wage raises the controls of overtime are more important than ever as a 25 to 40% standard pay increase will equate to a near doubling of current standard overtime. Let’s look at the numbers, currently an hour of overtime paid at the federal wage is $10.88, under Mr. Trump’s proposal that jumps to $15, and $18 under Secretary Clintons.
Automatic time clocks, biometric time clocks, and similar time clock devices can decrease overtime in a multitude of ways, and at the same maintain record keeping compliance as required by the Department of Labor. First, by tracking the actual time scheduled and worked no time is calculated for time unscheduled and non-worked.
Lunch breaks can be automatically scheduled, as short lunches, and skipped breaks generate millions of dollars in overtime nationally causing companies to be forced to close, lay off workers, or reduce hiring. Problems that are all solved with the introduction of an affordable employee time clock, or online time clock system.