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The NACCB is an organization of recruiters - so it's not individuals who
work 1099, but it's consulting shops. Their bread and butter is sending
consultants to clients and charging an overhead fee. The consultants are
usually 1099, therefore hourly and would have to be paid overtime at time
and a half. That was the whole problem behind AB60 - that it only allowed
for salaried workers to be exempt - not hourly workers.
On Tue, May 27, 2008 at 10:10 AM, Gene Kim-Eng <techwr -at- genek -dot- com> wrote:
> The logic behind this explanation escapes me. Most
> "consutling businesses" are either individuals working
> 1099, in which case the OT provisions of the labor code
> don't apply to them at all, or are W2 employees of temp
> agencies, in which case having employees who aren't
> eligible for OT benefits the agency (imagine being able
> to bill your clients by the hour but not having to pay your
> W2 temps OT).
> I've only worked one W2 contract gig in my entire career
> (back in 1992), and I was fully aware that I was supposed
> to be paid OT if I worked hours over 40 per week (there
> were none). A W2 gig with no benefits and none of the
> self-employment deductions of a 1099 would have to have
> a rate well in excess of any of the historic thresholds for
> me to be willing to take it.
> Gene Kim-Eng
> ----- Original Message -----
> From: "Darcy Rumbold" <darcyrumbold -at- gmail -dot- com>
> >Interestingly, it was again the NACCB who was behind reducing the
> >professional exemptions hourly threshold reduction by 14 dollars, which
> >SB 929. It states that
> > I don't know about you, but I find 14 dollars per hours too steep. My
> > guess
> > is that noone opposed this law because most workers are completely
> > unaware
> > that they are supposed to get overtime.
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