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Survey on Colleges' Responses to Overtime Changes

December 15, 2016
 
 

About a third of colleges and universities will delay payroll changes after an injunction last month blocked the implementation of a new federal overtime rule, according to a survey by the College and University Professional Association for Human Resources.

A U.S. District Court judge in Texas issued the injunction just days before the rule was scheduled to go into effect. The Department of Labor regulation would have raised the threshold under which employees must receive overtime pay to $47,476 from $23,660.

Although the final rule included a teaching exemption, it was criticized by higher ed groups including the American Council on Education. The injunction came after many institutions had already taken steps to come into compliance with the new rule.

The CUPA-HR survey found that of 495 responding institutions, 32 percent would now delay making any changes to implement the rule, while another 32 percent would implement some changes and delay others. Meanwhile, 28 percent of colleges and universities surveyed said they would go ahead with planned changes, and 8 percent said they planned to reverse some changes already made.

 
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