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View Diary: Democratic Senator To MORE IT Workers: No More Pay For Your Overtime Work (262 comments)

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  •  I wonder how this would affect (3+ / 0-)
    Recommended by:
    esquimaux, raincrow, kurt

    contract workers. About half of all IT workers are not employees of the company they are doing the work for. They are contractors who are quasi-employees of an IT consulting  or recruiting firm. Hours are billed by the consulting company.

    But most of the IT workers for these consulting companies are sort of employees in name only. They don't usually get benefits like the rest of the professional staff.  They do not get paid vacations and receive no pay for holidays.

    Since these workers are hourly they seem to be included under this bill. So no overtime pay and no benefits and no paid time off.

    "crush in its birth the aristocracy of our monied corporations which dare already to challenge our government" -Thomas Jefferson

    by Phil In Denver on Mon Dec 12, 2011 at 07:40:24 AM PST

    •  Most don't get OT, benefits or time off. (1+ / 0-)
      Recommended by:
      Jim Neal

      IT contractors may get  employee benefits (but not OT)  from the contracting firm if they're FTE's (i.e., hired and sent out on contracts and when not on a contract still compensated while "on the beach").  But lots of contracting firms just broker placements and do not actually hire the worker (i.e., not an employee so no employee benefits and no pay when not on a contract).

      The client who dictates the hours wouldn't pay OT.  The reason why contractors get higher hourly rates is because they're theoretically temporary and don't merit the investment (approx. 30%) of employee benefits and perks.  At least this is true in my very large degree of experience in NY and Ca.

      Eliminate the Bush tax cuts Eliminate Afghan and Iraq wars Do these things first before considering any cuts

      by kck on Mon Dec 12, 2011 at 11:29:23 AM PST

      [ Parent ]

      •  Not necessarily (0+ / 0-)

           I worked for a large contracting and software company - Compuware. Since the client was billed for the extra hours (if approved in advance), we were paid for that work. As a contractor I never gave anyone a free hour. When I worked for Union Bank as a salaried employee, we started out getting overtime, then just comp time and then nothing. A bonus system was instituted to make up for that loss, but bonuses were given out more for political reasons than actual extra effort. The bank CEO expected all salaried people to put in an extra 5 to 10 hours a week. Fortunately, I'm retired now.

        •  I should clarify that all hours are paid straight (0+ / 0-)

          ...time as opposed to what I call OT pay which is time and a half or some amount grater than 100% of the hourly rate.

          I think we 're on the same page.

          Eliminate the Bush tax cuts Eliminate Afghan and Iraq wars Do these things first before considering any cuts

          by kck on Mon Dec 12, 2011 at 02:38:08 PM PST

          [ Parent ]

      •  I think it might be in how one defines overtime (0+ / 0-)

        I've been a contract IT professional for over 15 years. I've never been paid a penny over my regular hourly rate no matter how many hours I worked, but I have ALWAYS been paid for every hour I worked.

        The clients almost always are paying an hourly rate and do indeed pay for the hours I worked, although whether that classifies as OT is another matter.

        "crush in its birth the aristocracy of our monied corporations which dare already to challenge our government" -Thomas Jefferson

        by Phil In Denver on Mon Dec 12, 2011 at 01:52:34 PM PST

        [ Parent ]

    •  Overtime is not a "Benefit" (0+ / 0-)

      It is a regulated right under federal law. You must pay overtime to entitled workers, or you will be fined, the employee will receive back overtime and the Feds will be in your books, looking for other violations.

      It is a CRIME not to pay overtime, not some wonderful favor from your boss.

      If you feel you are cheated, call the Dept. of Labor and have them handle your case for free.

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