To Our IFEA Industry Friends in the United States:
As anticipated, the final Exempt Status / Overtime Rules, included as part of the Department of Labor's (DOL) Fair Labor Standards Act (FLSA), were released today. The public record surrounding the rule is filled with comments, economic analysis, letters from Congress, and meetings and phone calls urging the administration to reconsider its proposal and more carefully examine the potential impact before proceeding. As are many other directly impacted businesses and organizations, we are deeply disappointed that the Labor Department largely ignored the concerns of tens of thousands of individuals and organizations across this country that expressed concern with the proposal. Employees and employers - many of which are still unaware of this rule - will be hit hard when it is implemented (beginning December 1st of this year), the festivals and events industry included. While the nation's overtime rules should certainly be updated, today's final rule and the significant increase to the salary level threshold defining exempt employees (as well as automatic increases in the future),will hurt event organizations, small businesses, schools, municipalities, nonprofits and other employers, as well as individual employees and the economy as a whole.We will continue to advocate with the Partnership to Protect Workplace Opportunity (PPWO) (a coalition of more than 70 organizations representing the broad employer community) for a regulation that is considerate of the economic realities facing employers and employees across the country.
IFEA urges Congress to pass the 'Protecting Workplace Advancement and Opportunity Act' (S. 2707 and H.R. 4773), which would nullify this rule and require the DOL to perform an economic analysis of how changes to overtime regulations will impact nonprofits, small businesses, and employers in other vulnerable industry sectors before issuing a new rule.
In the meantime, we want to share with all of you as much information as we can that will allow your own organizations to deal knowledgeably on the topic and to begin working with your appropriate legal, accounting and HR resources (internal and external) on proper responses that will minimize the impact on your own staffs and budgets, while ensuring that you are in legal compliance with the new rules. If you do not have a legal counsel that you already use, Brad Miller or Jessica Pollack, with IFEA Member Hawley Troxell Attorneys and Counselors, have been helping us to track this issue and would be happy to work with you and to help guide you through the planning and processes needed to comply with the new regulations. They and their firm have the ability and the network to work both nationally and internationally and will be doing a session on this topic for us at the IFEA 61st Annual Convention, Expo & Retreat in September.
The final overtime rule(508 pages) is now available at the DOL public inspection desk here.
The DOL website has many fact sheets and other information here.
The new rules will be effective on December 1, 2016 unless Congressional legislation is enacted to provide relief.
Please continue to reach out to your respective Congressional representatives and encourage their support of the 'Protecting Workplace Advancement and Opportunity Act' - House (HR4773) and Senate (S2707). The "Partnership to Protect Workplace Opportunity" has made this process very fast and easy. Simply go to the 'Take Action' page of the PPWO site, click on the 'Non-Profit' (or other more appropriate) button and follow the instructions. You will simply be asked to fill in your contact information and hit a submit button that will send a pre-written letter to your appropriate Members of Congress. It will take you all of about two minutes...a very important two minutes! The PPWO has even provided the ability to tweet your representatives, should you desire.
I hope that the above information is helpful. As always, the IFEA will continue to do our best to keep your interests represented and to keep you all updated as we know any more.
Best regards,
Steven Wood Schmader, CFEE
President & CEO
International Festivals & Events Association (IFEA) World Headquarters
About the IFEA: The International Festivals & Events Association (IFEA) is The Premiere Association Supporting and Enabling Festival & Event Professionals Worldwide. With a target audience that includes all those who produce and support quality celebrations for the benefit of their respective "communities," the IFEA's primary focus is identifying and providing access to the professional resources and networks that will inspire and enable those in our industry to realize their dreams, build community and sustain success through celebration.
For more information on the IFEA, go to: www.ifea.com or contact Beth Petersen, Director of Member Services at beth@ifea.com or +1-208-433-0950 ext: *816.
International Festivals & Events Association World Headquarters
