NRF survey: Expanded overtime would hurt retail

Washington, D.C. - An Obama administration proposal to expand overtime and redefine what it means to be a restaurant or retail manager may harm mangers’ career paths and undermine the quality of customer service they are able to provide. According to a new survey 200 salaried retail and restaurant managers conducted for the National Retail Federation (NRF) by GfK Research, 81% of respondents said there would be an adverse impact on customer service.



The survey asked respondents about the administration’s plan to revise the Fair Labor Standards Act. Other results show that:



• 75% say it would erode the efficacy of employee training;

• 72% think it would compound costs due to the need for additional staff;

• 66% say it would decrease employee morale;

• 56% believe the changes would not increase pay or benefits.



“The administration is singling out the service economy, specifically restaurants and retailers, with these new overtime regulations,” said David French, senior VP of government relations for the NRF. “The proposed Labor Department regulations will hinder the career paths of millions of American workers, restrict the duties a manager can perform while working, impact the customer experience, and add lots of paperwork and bureaucracy to the job description.”