Butzel Long attorney Gary Klotz quoted in Crain's Detroit Business on overtime rules lawsuits

Monday, September 26, 2016

Lawsuits unlikely to stall overtime rules
Message to businesses: Be ready for Dec. 1 implementation 

For Brogan & Partners Convergence Marketing Inc., new federal overtime pay rules mean its new associates may lose out on valuable experience.

The Birmingham-based advertising agency will be forced to limit the hours of just-out-of-college associates who otherwise would put in more hours to learn the ropes of the industry, said Ellyn Davidson, managing partner.

"When you first enter the workforce, you want to do things that further your career that might require you working more than 40 hours a week," Davidson said. "In advertising, we might have a young person come to a TV shoot for the day or focus group in the evening as a learning experience. Now, it brings up an issue for companies like mine that have to make a financial decision on that experience for them."

The only hope for Brogan & Partners, and many others, rests with two lawsuits filed last week challenging the U.S. Department of Labor's ruling to expand mandatory overtime pay to more than 4 million workers. But those challenges face an uphill battle, according to experts.

The message to businesses: Be ready for Dec. 1, when the new rule is scheduled to take effect.

Click here to read the entire article in Crain's Detroit Business.

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