Obama Takes the Credit, Workers Suffer the Consequences – Ep.91
The Peter Schiff Show Podcast1 Juli 2015

Obama Takes the Credit, Workers Suffer the Consequences – Ep.91


* One more time President Obama seeks to buy Democratic votes with a free lunch by appealing to workers
* Promising more overtime pay, to go into effect in 2016
* Raises the threshold for overtime pay requirements
* Workers who earn salaries of $50,000 or less must be paid overtime for hours worked over 40 hours per week
* This prevents workers who put in extra hours on their own time to try to advance
* This could cause employers to reduce salaries to factor in overtime
* It will be harder for employers to change existing work agreements
* This will adversely affect workers on flexible schedules, such as those who work at home in 2016
* Employers will have to seek more control over workers' schedules
* New law will disproportionately hurt women, the very constituency Democrats claim to protect
* Those who have variable workloads throughout the year will be adversely affected
* This law eliminates choice and increases costs, but it's great politics
* Followup on Puerto Rico: Minimum Wage
* Puerto Rico is an example of the adverse effects of a minimum wage law that has devastated an economy
* Puerto Rico's has more than 20% unemployment
* Puerto Rico labor force participation rate is 42-43%
* The minimum wage has priced out more than half of the labor force
* There is no entry level work in Puerto Rico
* If the minimum wage is so good, why does it not work in Puerto Rico?
* Puerto Rico is a real-life case study on the adverse effects of minimum wage laws
* Puerto Rico's only advantage is its tax law for incoming businesses which will increase demand for labor
* Recent comments on my last podcast questioned my support for Puerto Rico
* I never advised buying Puerto Rican debt - I knew it was a problem
* It makes sense to move to Puerto Rico to take advantage of the new tax laws
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