On July 6, the House Appropriations subcommittee for labor released a draft spending bill for fiscal year (FY) 2017 that would effectively block two final rules out of the Department of Labor (DOL), specifically the Overtime rule and the Fiduciary rule. The Overtime rule, finalized in May, increases the salary threshold below which all employees, regardless of job function, must be paid overtime and minimum wage. The Fiduciary rule, finalized in April, addresses certain conflict-of-interest and fiduciary concerns regarding financial advisers. Both rules have drawn sharp criticism from House Republican leaders. The draft spending bill would withhold funding necessary to implement and enforce the rules.
The bill is set to go to markup on July 7. If passed through the subcommittee, the bill would go to the full committee for consideration. It is expected there will be revisions prior to consideration on the House floor. ANCOR will continue to monitor the draft bill and update members.