I have had several clients ask about the impact of the Family Flex Act of 2013 if it passes Congress and is signed by the President. The Act permits an employee to bank up to 160 of overtime hours to be used as compensatory time off (CTO). It's a concept that the Fair Labor Standards Act already recognizes for public employees. The Act allows an employee of a private employer to take time off (1.5 hours for each hour of CTO) instead of taking overtime pay.
First, the bill must be enacted. I can't see that happening. President Obama opposes it. Unions oppose it. A Democratically-held Senate is not likely to pass it.
Second, if it did pass, what would be the effect in California? Nothing. Nada. Zilch. Rien. Zero.
In the land of left wingers, our nanny state won't allow employees the option of taking CTO. California assumes that employees can't think and act for themselves to choose CTO or overtime pay. California assumes that employers are out to get the little guy (employees) instead of providing them with a meaningful choice.
The argument against the Act and CTO is that the employer will require employees to take CTO instead of pay, when the employee is relying desperately on the income. However, the Act does not allow for CTO unless the employee agrees to it before working the overtime.
I have employed workers who wanted more time off in lieu of pay. It's not out of the realm of reasonableness as unions would have us think. And if an employee does not want CTO, then the employee can say no to that option.
Once again you can thank our politicians.