Labor Rule to Increase Overtime, Resulting in Burden on Home Health Agencies

Posted on Thursday, May 19, 2016 5:38 PM

Home health agencies will feel the pressure once the Department of Labor’s (DOL) final rule has released, outlining the overtime requirements for salaried employees. For salaried workers, the rule increases minimum salary requirements for overtime exemptions. The final rule will go into effect December 1, 2016.

The new rule will affect home health care agencies with salaried employees, requiring that they pay overtime wages for labor beyond 40 hours. Therefore, home health employers will most likely cut hours for their employees to make up for the overtime costs.

Several small business have acted out against the department’s decision. “The sheer ignorance displayed by the Department of Labor in failing to heed the concerns of the nation’s small business community will result in severe repercussions that will harm workers, small businesses, housing affordability, job growth and the economy,” the National Association of Home Builders (NAHB) said in a statement. “By radically doubling the current overtime salary limit of $23,600 to $47,476, this blatant regulatory overreach will essentially hurt many of the workers the rule was meant to help.”

For the full article, click here.

About Corridor

Corridor is the nation’s preferred partner and trusted business advisor to home health and hospice providers, providing quality services and impactful results for 30 years. Focusing on key operational, regulatory and financial challenges, Corridor delivering industry-unique solutions and deep expertise in coding, clinical documentation review, compliance, billing and collections , consulting and provider staff education . At Corridor, we make the business of caring for people Better! For the most important industry updates and news that impacts home health and hospice, please make sure to sign up for our weekly newsletter to receive the latest up-to-date industry information direct to your inbox!

For additional information, please contact Corridor at 1-866-263-3795.

Go Back

Explore Corridor’s Solutions

Share This Story, Choose Your Platform!