Our old “friend” Tim Worstall is back at it on his occasionally almost nearly coherent Forbes blog. This time, he’s talking about the increased overtime threshold. As you may have expected, he thinks paying more overtime is a bad idea. Here Tim is being, if nothing else, consistent; he thinks a minimum wage is a bad idea, after all, so why wouldn’t he be against a policy like overtime that benefits workers?
But the truth about overtime is that Tim just doesn’t care all that much. No, really. He calls the new threshold “entirely trivial.” That’s a direct quote. In fact, he uses the word “trivial” twice to describe the effects of overtime and then he says he’s not even sure the White House estimates of what the overtime raise will pay out—”$1.2 billion a year over the next decade”—are worthy of the word “trivial,” they’re so insignificant.
What a bad boy I am. The new overtime rule will, apparently, increase wages by $1.2 billion a year. That’s 0.006% of the US economy. Whoopdidoo. It will affect some 12.5 million people. Under $100 a year per person therefore.
Yep, it’s trivial.
What a bad boy I am.
That website, Civic Skunk Works, is what the multi-billionaire Nick Hanauer, spends his money on. Odd really: for that sort of money you’d expect some competent criticism really…..