H.R. 2270: Empowering Employer Child and Elder Care Solutions Act

This bill, titled the Empowering Employer Child and Elder Care Solutions Act, aims to change how certain payments related to child and dependent care are treated under the Fair Labor Standards Act (FLSA) of 1938. Specifically, it seeks to exclude payments or reimbursements that employers make for child or dependent care services from the calculation of overtime compensation for employees.

Key Provisions

• Exclusion of Care Payments: The bill proposes to amend Section 7(e) of the FLSA by adding provisions that recognize payments or reimbursements for child or dependent care services as exempt from the calculation of overtime pay. This means that if an employer provides childcare or dependent care benefits, these amounts will not be included when determining how much an employee earns for overtime work.
• Effective Date: The changes introduced by this bill would take effect for any overtime calculations for workweeks beginning on or after the date when the bill becomes law.

Overall, the legislation modifies how care-related financial assistance is factored into wage calculations, potentially making it less burdensome for employers when calculating overtime pay for their employees.

Relevant Companies

• None found