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In this episode of the weekly Budget & Tax News podcast, managing editor and research fellow Jesse Hathaway talks with Mercatus Center senior research fellow Veronique de Rugy about the “Overtime Rule,” a regulation passed down by the U.S. Department of Labor revising federal overtime provisions contained in the Fair Labor Standards Act (FLSA). The new rule extends overtime pay rules to over 4 million workers, within the first year of implementation, increasing the costs of hiring and employing many individuals and hiking the costs of doing business for small businessmen all over the nation.
De Rugy explains the rule, and explains why she thinks the federal government is likely to continue a time-honored tradition: making itself immune to the rules it passes for other people. According to de Rugy, for decades, lawmakers declared themselves immune to regulations such as the Civil Rights Act of 1964, as if they considered themselves better than the people they were elected to represent in the nation’s capital.
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