One million American workers whose wages are below the median individual pay will now be eligible for overtime protections. President Joe Biden said that many will see increases in their incomes and have more time to spend with their families.
Joe Biden Extending Overtime Protections
In a statement, the White House said that employees with annual incomes below $43,888 would be granted additional protections due to the executive action announced on July 1.
With an increased threshold of $58,656, above the median individual salary of $47,960, as specified in Census data, Joe Biden has promised to extend the protections further next year if Democrats retain control of the White House, increasing overtime benefits to three million more workers, according to The Hill.
The new overtime extensions, stemming from a rule under a section of the Fair Labor Standards Act finalized in April, will take effect on July 1. The adjustments are a direct result of a recently revised computation by the Labor Department.
In a separate statement, acting Labor Secretary Julie Su said that the Democratic rule change would be increased every three years beginning in 2025.
Joe Biden: A Pro-Labor President
This announcement follows last week's debate, which, according to several media outlets, Joe Biden's performance alarmed many Democrats and caused panic inside the party.
As the first sitting president to actively participate in the United Auto Workers (UAW) strike last year at the Big Three US automakers, Biden has positioned himself as one of the most pro-labor presidents in US history.
While Biden supports the expiry of the tax cuts enacted by former President Donald Trump, he has promised not to increase taxes on Americans earning less than $400,000. Some provisions from the Tax Cuts and Jobs Act of 2017 are set to expire at the end of 2025.
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