Right now with the 0% interest subsidy on cash people will work 40 hours to save themselves into an early retirement that won't be possible in the future and then they complain that the government stole their money through inflation by letting them save money that has no reason to exist.
Two, FTA "the proposed bill would require these employers to compensate employees who work in excess of 32 hours per week at 1 ½ times the employee’s regular rate of pay" - it's unclear to me how this impacts exempt vs. non-exempt workers. If you're salaried in California and you work 50 hours a week it's not like you get paid any more. Those are 10 hours of unpaid overtime. This doesn't seem to change that concept. If they're only talking about hourly workers, then it's a pay cut no matter what. In the "Disadvantages" section of the article it further implies that these changes would mostly impact hourly/non-exempt workers.
Three, why the differentiation between <=500 and >500 workers? If I'm an hourly worker someplace with ~490ish employees who works 40h/wk I'm going to have to worry about my hours being cut because of hiring I have nothing to do with. If I'm consistently getting overtime for a larger employer at ~40 hours a week, I'm going to receive a pay cut if they downsize and that work is no longer considered overtime.
Four, and perhaps most importantly, this is never getting signed into law. It's a publicity/donor stunt by some politicians and nothing more.
A shop that employs 40% of its folks full time will have to hire a ~10% (25% not 20%) bigger workforce in order to provide an identical number of labor hours. However labor costs while they are substantial aren't 100% of costs. It would be more normal for employee labor to be closer to 30%.
This means costs ought to increase more like 3% not 20%.
Businesses can take the additional profits from rising prices in fact only partially attributable to rising prices of inputs and probably come out even.
It ought to be noted that its also possible that many firms can't all hire 10% more labor making paying the overtime rate for some of its people the only feasible alternative to serving business. Paying 8 hours of overtime for a given employee is like paying for an extra 4 hours of pay or once again 10% of effected employees minus the additional cost of acquisition and management. This may end up being the desirable option.
> Businesses can take the additional profits from rising prices
If a business is increasing its prices, it's much more likely that it's doing so because its own COGS and other expenses are increasingly similarly.
Any change in the ground rules that makes life more expensive be it implementing health inspects, fire codes, minimum wage, over time, child labor will boot someone from barely functional to defunct to be replaced by someone smarter and better.
Such failures are disruptive but unemployment shields the employees to some degree from mischance and ultimately they don't long term care if bob's eatery goes out of business. Instead they care if there is someone they can cook serve or deliver dinner for. On average someone will be interested in serving that need and statistically the survivor will be a better business than bobs.
It's unfortunate if Bob goes under but statistically Bob as the owner of a business with 500+ employees he is well inside of the 1% and his financial well being is the last thing we ought to optimize for.
I suspect that the third point is an attempt to address the first. A company with five hundred employees is (in theory) better able to absorb this cost than a mom-and-pop with ten people on staff. The exact number of five hundred is probably arbitrary, though.
Walmart doesn't need to compete with mom and pop, it simply needs to destroy them.
In that context, if we see local economies as something to be preserved, better regulations are needed. There might not be a legitimate case for that, since megacorps being massive efficiencies to bear. Deliberately reducing efficiency to placate small business owners might feel justified, but to the consumer, things are pretty good these days aside from shortages and inflation.