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Until recently, much of the restaurant industry’s employment news focused on minimum wage laws and the push for $15-an-hour pay.

But the latest employment heat riling up the restaurant industry primarily affects lower-level managers who work overtime. The issue came to a head last month when the Department of Labor updated overtime regulations with new salary and compensation levels that will impact restaurants coast to coast.

The new rule vastly expands eligibility for overtime pay to those earning $47,476 or less annually. Previously, only those earning less than $24,000 were eligible for overtime.

The change could come at a steep cost to restaurant owners. Before the new rule takes effect December 1, operators nationwide might be forced to decide whether their salaried managers will receive modest pay boosts so that they can remain exempt, or if they will be asked to become hourly workers.

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Nick Powills

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Nick Powills

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Nick Powills, CFE, founded No Limit Agency in 2008 and serves as Chief Brand Strategist for the Chicago-based firm. No Limit is a full-service communications agency that establishes and elevates brands by bridging Public Relations, Social Media, Marketing, Advertising, Digital, and a lot of creativity, to best strategize well-rounded and successful campaigns for 50+ global franchise brands. By presenting visionary ideas and building real relationships, No Limit is able to create effective media branding strategies to help companies grow. Nick currently leads a staff of writers, media strategists, designers, social media experts and digital producers in an office think-tank where brands are humanized for strong, compelling media stories. Prior to starting No Limit at the age of 27, Nick spent four years working at a franchise PR agency where he mastered the art of building rapport with media outlets and creating newsworthy pitches for earned media placements. He holds a Bachelor of Journalism from Drake University in Iowa.

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