How Much Do U.S. Labor Regulations Cost Employers?
Last week, the National Association of Manufacturers’ Center for Manufacturing Research released a study that estimates that seven new labor regulations put in place during President Barack Obama’s tenure in the White House will cost manufacturers more than $81 billion over the next ten years and will take about 400 million hours to comply with.
According to the report, the Department of Labor’s (DOL) overtime regulation alone will cost $33 billion while the Occupational Safety and Health Administration’s injury and illness reporting rule will cost $1.1 billion. The NAM also found these rules threaten 155,700 jobs and could also lead some employers to hire more part-time employees while reducing their full-time workforce. According to NAM, “The pace of labor rulemaking in the waning months of the Obama presidency will easily exceed that of the previous three two-term presidencies.”
Last week, 21 states filed a lawsuit against the DOL overtime rule.