21 states suing Obama Administration over new overtime-pay rule

South Carolina Attorney General Alan Wilson weighs in on the 21 states suing the Obama Administration's new overtime-pay rule.

South Carolina, 20 Other U.S. States Sue Fed. Govt. Over Overtime Rule

Small Business FOXBusiness

South Carolina joined 20 other U.S. states in filing a lawsuit against the Labor Department on Tuesday concerning the new overtime pay rule.

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The lawsuit alleges that the rule, which would allow millions of Americans to qualify for overtime pay, is unconstitutional. According to the White House, the new rule “doubles the salary threshold—from $23,660 to $47,476 per year—under which most salaried workers are guaranteed overtime.”

South Carolina Attorney General Alan Wilson joined the FOX Business Network to explain why he opposes the overtime rule, set to go into effect on December 1, 2016.

“This administration is completely circumventing the rule of law,” Wilson said. “It’s a power grab of Article I of the Constitution. They’re completely circumventing the will of Congress. Members of Congress who represent the states should have the ability to opine and debate these issues. This administration has completely ignored the will of the people and wants to implement policies that are going to be devastating and catastrophic for small businesses.”

Wilson said small businesses across America, and their employees, will take a significant hit as a result of the administration’s change in policy.

“A lot of people are going to be taken off salaried positions because the business can’t afford to pay them a salary time and a half beyond that certain threshold, and they’re going to be put on hourly positions,” he stated.

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The South Carolina AG added: “This is an arbitrary and capricious act by this administration and they haven’t taken into account the concerns that many of the businesses around the country have been voicing. It’s going to be extremely onerous for compliance costs. It’s going to actually hurt the very people they’re intending to help. In South Carolina, 90% of the businesses in this state are small businesses who can’t afford to comply with this unconstitutional mandate.”

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