The Family-Friendly Workplace Act

Read here about a new bill introduced into the House of Representatives to help working families manage. The goal of the bill is to give employers some flexibility in providing additional paid-time off in lieu of paying overtime. According to the press release:

"The Family-Friendly Workplace Act allows private sector employers to offer their employees the option of taking paid time off as compensation for overtime hours worked. This benefit, commonly known as “comp time” or “family time,” has been enjoyed by public sector (e.g. government) workers for more than two decades. However, the 1938 Fair Labor Standards Act prevents private sector employers from offering this same flexibility to their workers, leaving the vast majority of hourly employees unable to benefit from this type of paid time off."

This bill makes sense. Right now under the Fair Labor Standards Act, employers must pay overtime, even if the employee would prefer comp time instead. I have talked with many employers who would love to offer comp time because it allows them to better meet fluctuating business needs. Instead of just increasing payroll costs during a busy period, an employer can keep costs constant and allow employees time off later when the employees need it. Further, under the proposed bill, employees maintain the option to take the overtime pay. So if the money is important, employers are still on the hook to pay overtime. I really can't see the downside of this bill beyond some additional recording keeping for employers to track comp time. Employers must still pay overtime, but both employers and employees benefit from the comp time option.

But, I doubt this bill will successfully navigate its way to become a law. A similar bill was introduced about 10 years ago that never made it to a vote. In my opinion, the main challenge is that the name of the bill alone puts it in the wrong context for success. Unfortunately, our congress tends to work against legislation that appears to be in favor of families. There seems to be a strong perception that good for families means bad for business.

Further, more broad support for this bill would be available if it was supported by everyone who would benefit from it, not just those with families. The bill as written provides the comp time benefit to all employees, not just moms and dads. By calling it "family-friendly," the bill draws immediate attention to the "family" benefit and will only serve to bring bias against the bill for those who already think parents get more of a break in the workplace than others.

Maybe "Workplace Flexibility Act" instead?