Nov. 8, 2023
297: NCA Update November 2023 Labor Laws and Visa Changes
November 2023 update from Joe Trauger from the National Club Associations.
We chat about the Championship Conference and the ripple effects of labor regulation changes on the industry.
Then we dissect the potential ramifications of the Department of Labor's proposed hike in the overtime threshold. Gain a firm grasp on how this proposed shift could impact both employers and employees and unravel the complexities of the Fair Labor Standards Act along with an influential court case from 2016. Stay tuned as we navigate through the H2B visa program and its implications for clubs and managers.
Learn more about the National Club Association here.
Follow us on the socials
Private Club Radio Instagram
Private Club Radio Linkedin
Denny Corby Instagram
Denny Corby Linkedin
00:00 - NCAA Club Championship and Industry Updates
15:17 - Implications of Proposed Overtime Threshold Increase
30:02 - Labor Regulations and H2B Program Implications
WEBVTT
00:00:00.882 --> 00:00:04.187
Hey everyone, welcome back to Private Club Radio.
00:00:04.187 --> 00:00:06.272
I'm your host, denny Corby.
00:00:06.272 --> 00:00:13.792
Here we are getting a quick update again from our friends over at the NCAA National Club Association.
00:00:13.792 --> 00:00:19.760
They always have some cool things going on and trying to help our industry and that's this.
00:00:19.760 --> 00:00:27.943
All that sort of a lot more on the political side and I will be honest, I am the far from knowledgeable on that subject.
00:00:27.943 --> 00:00:39.988
But I try to make it a little bit easier ask the questions, ask to break it down, make it sound, make it a little bit fun and interesting, because it can't, it's sometimes not always the most interesting subject.
00:00:40.651 --> 00:00:43.243
We chat about the club championship conference coming up.
00:00:43.243 --> 00:00:45.067
That's going to be a lot of fun.
00:00:45.067 --> 00:00:51.036
I'm excited to go learn, hang out and just make some connections and that's what all these are about.
00:00:51.036 --> 00:00:59.006
That's not always the topic or subject that you might need or at the moment, but I think it's just fun to go and learn.
00:00:59.006 --> 00:01:04.605
That's what me and Joe talk about, with the NCAA a little bit coming up with their events and conference next year.
00:01:05.227 --> 00:01:14.617
Going over to the political side, we talk about the Department of Labor in their threshold to go from salary to hourly.
00:01:14.617 --> 00:01:42.805
Joe will talk about that a little bit more, since he is a lot more knowledgeable and can explain it a lot better, which he will but talk about the goods, the bads, the pros, the cons, when it takes effect, how it takes effect and for you all as listeners, depending on what side of the spectrum you are on, whether it's management, if you fall within the threshold, know how to have those conversations from both sides of the playing field and how to be proactive about it.
00:01:42.805 --> 00:01:45.840
So something that's going to be happening, whether we like it or not.
00:01:45.840 --> 00:01:54.061
We also touch on the H2B visa program, which has to do with workers coming over on visas.
00:01:54.061 --> 00:01:56.808
That's going to be in our chats.
00:01:57.691 --> 00:02:01.882
And I totally forgot to mention coming up on our 300th episode.
00:02:01.882 --> 00:02:05.046
Head on over to privateclubradiocom.
00:02:05.046 --> 00:02:14.520
Sign up for our 300th episode giveaway giving tremendous prizes, many, many prizes, some really cool things you want to be entered in.
00:02:14.520 --> 00:02:17.652
Make sure you head on over to privateclubradiocom.
00:02:17.652 --> 00:02:18.856
You'll see the link.
00:02:18.856 --> 00:02:22.026
You'll see it right there, right on the main screen.
00:02:22.026 --> 00:02:26.198
Sign up, register to win one of those things.
00:02:26.498 --> 00:02:29.366
You'll see what I mean You'll see a prize emoji.
00:02:29.366 --> 00:02:31.350
You're picking up what I'm putting down.
00:02:31.350 --> 00:02:34.626
Anyway, enough of me speaking.
00:02:34.626 --> 00:02:41.242
Let me pass it over to the man who knows a ton more than I do about everything.
00:02:41.242 --> 00:02:45.512
I just tried to say the big cheese at the NCAA, Joe Trager.
00:02:45.512 --> 00:02:49.004
So what is going on?
00:02:49.004 --> 00:02:50.568
How are things?
00:02:52.372 --> 00:02:53.235
Things are going great.
00:02:53.235 --> 00:02:58.491
We've got a new conference coming up next week and really looking forward to I'm going.
00:02:59.395 --> 00:03:03.645
We're looking forward to seeing you there and looks like we have a good group assembled.
00:03:03.645 --> 00:03:14.050
This is our inaugural championship club conference and we have some fantastic speakers lined up.
00:03:14.050 --> 00:03:16.534
We'll kick things off.
00:03:16.534 --> 00:03:20.948
I will kick things off right away in the morning.
00:03:20.948 --> 00:03:29.216
I'll be joined by Tom Wallace, who's with Copeland, kevlar and Wallace and also a board member of the National Club Association.
00:03:29.216 --> 00:04:09.549
We'll just set the tone, what our goals are for the conference, and then we'll kick things off with some good discussions from Colin Burns, who's the former general manager at Winged Foot up in New York, and also we'll have Kevin Bozada, who's the director of club operations at Augusta National Golf Club, and Robbie Zalsnack, who is a former player services person with the US Golf Association, usga, and we'll cap things off from the day with Jeffrey Creeful, who's the general manager of Congressional Country Club.
00:04:09.748 --> 00:04:20.526
So a fantastic lineup of speakers and we're just going to talk about all those things that go into putting together a golf tournament at an elite level.
00:04:20.526 --> 00:04:33.814
So anything from a state amateur championship to the Masters or the US Open or PGA or PGA event or an LPGA event.
00:04:33.814 --> 00:04:38.084
Yeah, so it's going to be a great, great conference.
00:04:38.084 --> 00:04:39.567
I'm excited about it.
00:04:39.567 --> 00:04:53.651
I know it's caused the buzz within the community and, yeah, we're looking forward to kicking this thing off and building it to be even bigger and better next year, so, but we got to get this first one off the ground first.
00:04:54.721 --> 00:05:00.153
I was going to say, man, high expectations for next year and this year's not even done.
00:05:00.319 --> 00:05:02.331
This is great yeah that's what I Go ahead.
00:05:04.081 --> 00:05:04.954
Go ahead guys.
00:05:05.716 --> 00:05:07.040
No, I agree.
00:05:07.040 --> 00:05:17.283
I mean we're excited about it and you know, having speakers like that at our first event is a high bar to match.
00:05:17.283 --> 00:05:25.348
But yeah, we're looking forward to trying to do that and make it even better for the next, next go around.
00:05:25.348 --> 00:05:29.322
So, but we need to get through this one first, and I'm excited about what we're going to learn.
00:05:30.735 --> 00:05:31.358
No, it's really.
00:05:31.358 --> 00:05:42.146
I really enjoy niched down, more intimate events, and that's what this seems to be, because it was only limited to 100 people, or was it 50?
00:05:44.197 --> 00:05:54.620
Yeah, we originally limited the attendance, yeah, but it looks like we'll have about 25 or 30 people there.
00:05:54.620 --> 00:05:56.105
So it's a good.
00:05:56.105 --> 00:06:06.675
It's a good group and it should facilitate some good conversations and and you know talking about challenges and how to resolve them and ideas.
00:06:06.675 --> 00:06:09.545
So we're looking forward to the conversation.
00:06:10.475 --> 00:06:24.485
Well, and what I think is interesting too is, even if I think the perks of going and this is me just like, I'm not even even selling it, it's just from, like the point of view of just it's not about you know, it's about learning about that specific thing.
00:06:24.485 --> 00:06:32.600
But I think the fun part is if you can go and like, let's just say you're not interested in doing you know anything closer, re remote to that.
00:06:32.600 --> 00:06:42.980
But if you go and it's you just learned, like, oh, that's how this large thing handles this specific problem, you know, whether it's food and beverage, whatever, they can take that back and go.
00:06:42.980 --> 00:06:50.119
Oh well, if they can solve it like that with this large everything, I can easily probably incorporate that into my you know small thing.
00:06:50.119 --> 00:07:01.021
So I think it's just you know seeing and relating and, like I said, how small and intimate just having you know those conversations and I'm sure it might turn into you know fireside chats a little bit.
00:07:01.021 --> 00:07:03.206
So I'm super excited.
00:07:03.214 --> 00:07:14.245
Yeah Well and I think the lessons folks can take away from a conference like this really go beyond that elite level tournament that we're really kind of focused on.
00:07:14.245 --> 00:07:33.761
Because you know, every club that has golf will do member tournaments, whether it's a member guest or a member member or their club championship or, you know, chairman's cup, whatever it is, and there's little things that clubs can do to make those events really special for their members.
00:07:33.761 --> 00:07:49.706
And you know, being able to learn from an environment like this and the things that folks do for the elite players again, whether it's PGA, lpga or you know any other tour, you know they can bring those things home and make it extra special for their members.
00:07:49.706 --> 00:07:52.781
And one of the things that we really wanted to get at here.
00:07:52.781 --> 00:08:44.706
You know we made this conference available to not only the professionals, the general managers and head pros and that group, but we also opened it up to board members because really, at the end of the day, you know if a club decides that they're going to host a championship, you know at whatever level, the board's really the one that makes the decision to hand over their course or, you know, one of their courses in their facility to that tour for holding that event and so by learning about what exactly that entails, board members can make a more informed decision about, you know, whether or not they want to hand over their facility for a week and everything that goes into it, whether it's course preparation and you know all those.
00:08:44.855 --> 00:08:55.000
There's so many things that go into these types of events that you know we're really just scratching the surface with this initial event and kind of doing fraud strokes on the whole whole package.
00:08:55.000 --> 00:09:21.048
I think where we have opportunities in the future is really kind of dig down deeper into these things and those little extra special things that clubs can do to, you know, make the players that are arriving for the week, you know, feel at home and have a great experience and, like I said, those things translate into how you can hold tournaments, you know, at your club, even just for members.
00:09:21.048 --> 00:09:35.404
So there's a lot to learn from it and I keep saying it, but I'm really excited about to see how things go and like, is that planning for this to be a recurring event on the calendar?
00:09:36.956 --> 00:10:02.121
And I think what's awesome as well, and what the theme I'm getting away from, is, you know also the connections and the networking this is going to have, because you know, let's just say you have a, you're working on something and it's just you know your own small club event but you're hanging out with so and so and they happen to have a connection to you know a sponsor or something.
00:10:02.121 --> 00:10:04.586
I just think that's oh, it's going to be so much fun.
00:10:04.586 --> 00:10:06.375
I'm so excited, the potential.
00:10:06.414 --> 00:10:36.669
Yeah, that's one of the things that we try to do for all of our events is really have a kind of curated experience and be able to foster that networking connections, whether it's, you know, an event like this or our National Club conference that we do in the spring every year, the events are really meant to be prime opportunities for networking and just getting together and having conversations and being in community.
00:10:36.669 --> 00:10:57.187
You know I've said in the past the National Club Association is not unlike a club in the sense that you know we're building a community and we learn from each other and you know it's nice to be in that community for an event and socialize and learn.
00:10:59.231 --> 00:11:27.917
I will say I attend a lot of conferences in different capacities and what I really enjoyed for my first time at the NCA conference last year was how everybody and everything is in the same room and to me, from my point of view, just looking and observing, I feel like this creates such a better bond and connection with not just the attendees but also the sponsors and vendors who are also in the same room.
00:11:27.917 --> 00:11:29.650
That opens up.
00:11:29.650 --> 00:11:44.682
You know, it's about the connections and the people, and just having everybody in the same room, I just think, opens up the doors of communication to where hopefully, the sponsors and the people you know supporting and doing things are also paying attention to what's being talked about.
00:11:44.682 --> 00:11:46.537
I think it just opens up the doors of conversation.
00:11:46.537 --> 00:11:54.830
So now, when you know we all have that awkward like walk, walk by a booth or just standing there and not sure what to do, it just opens up like, oh, wasn't that a cool idea?
00:11:54.830 --> 00:11:57.879
And it's like, oh, yes, at least it just opens up the doors of communication.
00:11:57.879 --> 00:12:00.385
I really enjoyed the connection, yeah.
00:12:00.405 --> 00:12:02.955
I agree 100% and that's why we can.
00:12:02.955 --> 00:12:16.465
You know we were going to continue that tradition and it's it also opens up, I think, an opportunity for vendor sponsors to hurt here firsthand.
00:12:16.465 --> 00:12:32.556
You know the things that the club professionals are talking about and what they might be concerned about, and so I think that's a benefit for our sponsors and vendors as well to be in the same room and that's like I said, it's been a tradition and it's something that we're definitely going to be continuing in the future.
00:12:32.556 --> 00:12:48.552
You know we have our conference scheduled at PGA Frisco down in Texas next April 28th through the 30th, and you know we're in the process of putting together the speakers and events and all that kind of stuff.
00:12:48.552 --> 00:12:57.395
But yeah, I think we're going to try some new events this year, or next year, I should say, and I think it's going to be fun.
00:12:58.010 --> 00:13:03.379
I'll be totally honest, that's sort of the reason why I'm coming to the championship conferences.
00:13:03.379 --> 00:13:13.176
I know I'm never, ever going to host a club, but just to go and just, you know, understand the little intricacies and little detail to make.
00:13:13.176 --> 00:13:16.671
Oh, I never realized that's what goes into it, or that's.
00:13:16.671 --> 00:13:17.975
That was an interesting problem.
00:13:17.975 --> 00:13:19.313
What a crazy solution.
00:13:19.313 --> 00:13:26.190
Just understanding and hearing the stories in the point of views and perspectives, absolutely.
00:13:28.013 --> 00:13:32.501
And I've been in the, so I've been in the board room at my club.
00:13:32.501 --> 00:13:49.062
You know, served as a board member for eight years, president for two and you know, almost every year there would be a request from the Virginia State Golf Association or some other organization that wanted to host an event or a qualifier or something like that.
00:13:49.062 --> 00:14:11.780
And a lot of times I think board members go into it not knowing exactly what that entails for the club and in terms of the staffs and you know the management, so you know that's again kind of why we wanted to offer this up for board members as well, so they can have a clearer window into exactly what that decision means.
00:14:11.780 --> 00:14:12.582
I like it.
00:14:12.970 --> 00:14:13.692
I like it a lot.
00:14:13.692 --> 00:14:15.211
What is?
00:14:15.211 --> 00:14:17.735
I know we were last episode.
00:14:17.735 --> 00:14:18.998
A few episodes ago.
00:14:18.998 --> 00:14:21.923
We were talking about the Department of Labor.
00:14:21.923 --> 00:14:23.774
What's what's going on there?
00:14:25.190 --> 00:14:56.537
So, while we're taping this, on November 7th and it is an important day because November 7th is the filing deadline for comments to the Department of Labor on the overtime threshold and just by way of just a brief background, the overtime threshold is that minimum amount that you need to pay someone in their salary or wage in order for them to be even considered an exempt employee, and you know there's duties, tests that come along with that.
00:14:56.537 --> 00:14:58.402
You know, are they acting independently?
00:14:58.402 --> 00:15:00.677
Do they have autonomy?
00:15:00.677 --> 00:15:01.500
Those types of things?
00:15:01.500 --> 00:15:04.538
Do they supervise staff, those types of things.
00:15:04.538 --> 00:15:14.381
So the last time it was updated was 2019 and it went up to $35,568.
00:15:14.381 --> 00:15:28.581
And the Department of Labor has put out a proposed rule to increase that threshold up to $55,000 and change, and potentially up to $60,000 and change.
00:15:28.581 --> 00:16:14.144
So we actually filed our comments yesterday with the Department of Labor and we urged them to withdraw it, because it's RBU that it's going to have a negative impact on not only employers and clubs, but also employees who might be on that bubble where they're considered exempt now and they have a lot more autonomy, they have the opportunities for continuing education, certification, those types of things where, if they become an hourly employee and not exempt, it becomes much more difficult and, frankly, much more expensive for clubs to invest in those key, really crucial continuing education certification programs.
00:16:14.144 --> 00:16:16.855
So we highlighted that as an issue.
00:16:16.855 --> 00:16:26.495
But it also has the potential for creating the exact opposite effect the Department of Labor is trying to get at, which is offensively.
00:16:26.535 --> 00:16:53.171
What they want to do is increase worker income where if you have an employee who's on the bubble, but say the golf professional who earns commissions on lessons that he or she provides, it's their salaries let's say for a median club or club professional assistant club professional would be, say, $40,000 base salary.
00:16:53.171 --> 00:17:08.612
They might earn $5,000, $6,000 in commissions over the course of a year under the rule that that employee is now going to be non-exempt or would be non-exempt, meaning that the club would.
00:17:08.612 --> 00:17:25.663
Then really, because they're trying to keep a pretty firm handle on labor costs, the club now is going to be incented to limit that person's hours to avoid paying overtime.
00:17:25.663 --> 00:17:50.018
What that does in turn is it limits the number of hours that individual is able to schedule lessons and during the seasonality and whether dependency of whether it's golf or rackets, those types of things that can diminish their earning capacity, because it just limits the number of hours that they're available to give lessons and earn those commissions.
00:17:52.109 --> 00:17:54.999
There's some concerns about that and we made those clear.
00:17:54.999 --> 00:18:06.792
One other aspect that we raised in our comments was that the Department of Labor wanted to move to a automatic update every three years.
00:18:06.792 --> 00:18:40.462
So every three years they would increase presumably increase the minimum threshold for overtime exemption and really, basically, what we said to them was that you know, to our beliefs that that's outside of the law, they're not authorized to do that under the Fair Labor Standards Act and they should not do that, and so, hopefully, you know, cooler heads will prevail and wisdom reigns and they'll pull that back.
00:18:40.462 --> 00:18:48.393
But you know, there's really no organic, you know authority for them to do that in the statute.
00:18:48.393 --> 00:19:03.540
So, again, we're hoping that they'll pull that back, but at the end of the day, there's also some concerns about whether or not they're going beyond their authority to increase the overtime threshold as much as they are, as fast as they are.
00:19:04.759 --> 00:19:15.571
There was a court case a federal court back in 2016 that ruled under the Aboled Administration that they by increasing, they wanted to increase it up to 47,000.
00:19:15.571 --> 00:19:29.848
But what the court said is, by increasing it so much up to a high level, effectively what they're doing is getting rid of the duties test, which is beyond, again, the confines of the Fair Labor Standards Act.
00:19:29.848 --> 00:19:32.208
So there's a lot of different movie pieces in here.
00:19:32.208 --> 00:19:44.820
There's litigation that I'm sure will be involved once this is finalized, but we made it clear that we opposed the rule as it was proposed and urged them to withdraw it.
00:19:46.863 --> 00:19:48.446
When would this take effect?
00:19:50.039 --> 00:19:54.330
So right now they're in the comment period which closes today.
00:19:54.330 --> 00:19:55.482
So what they'll do?
00:19:55.482 --> 00:19:57.670
The agency will take all of those comments.
00:19:57.670 --> 00:20:00.910
I forget how many there were filed.
00:20:00.910 --> 00:20:03.608
There were in the thousands that were filed comments.
00:20:03.608 --> 00:20:12.170
So what they have to do under the Administrative Procedure Act is they have to review those comments, respond to those comments and then finalize the rule.
00:20:12.170 --> 00:20:21.653
And then there's a process they go through there, they go through the OMB or the White House to have them review the final rule and then it's published.
00:20:22.000 --> 00:20:26.142
So it should be done by Friday, yeah.
00:20:28.079 --> 00:20:50.346
I'm sure they would love to get it done that quickly, but there are steps that they have to go through that take some time, and so I think it's just it's tough to say when the final rule would be out, but I'm pegging right around February or March for a final rule, just given some of the things that they need to do to get to that point.
00:20:52.039 --> 00:21:03.709
And there's a little bit of pressure on the administration to get it out sooner because of what's known as the Congressional Review Act, and that is a process that Congress can review any rule.
00:21:03.709 --> 00:21:14.990
And it becomes particularly precarious for an administration as it nears the end of its term because we have an election coming up 2024.
00:21:14.990 --> 00:21:38.212
And if the administration does not win reelection and the Congress is of the opposite party, it makes it much easier for them to pass the Congressional Review Act, meaning they would essentially strip all of the regulations or certain regulations out and rescind them.
00:21:38.212 --> 00:21:50.730
So there's a little bit of the calendar coming into play here and I'm simplifying the process for obvious reasons, but because it's never that easy.
00:21:50.730 --> 00:22:10.246
But yeah, there's a lot of different things happening and a lot of things that they're trying to avoid, and I think that's something we're going to see not only within the Department of Labor, but it's something we're going to see across the administration, to get these rules done around that February, march timeframe.
00:22:10.246 --> 00:22:11.829
Get them finalized.
00:22:13.059 --> 00:22:17.530
So either CMA conference will be a total party in Vegas or not.
00:22:17.530 --> 00:22:23.606
No kidding, are there any like it seems like there's.
00:22:23.606 --> 00:22:25.852
Like a lot of you know this is not a good thing.
00:22:25.852 --> 00:22:28.609
Are there any or not?
00:22:28.609 --> 00:22:32.507
Not a yeah, are there any good things Like are there any pros to this?
00:22:32.507 --> 00:22:40.345
You know, let's just say, you know this, this does get passed, you know, are there any pros to look for?
00:22:40.345 --> 00:22:44.391
You know how is this, or could it be beneficial, if anything?
00:22:45.615 --> 00:22:48.080
Well, it depends on your perspective.
00:22:48.080 --> 00:22:59.045
I suppose the administration, the Department of Labor, has said that they anticipate about 25% of how did they say it?
00:22:59.045 --> 00:23:08.846
There was some number of individuals that would then become eligible for overtime.
00:23:08.846 --> 00:23:21.130
So presumably there could be some individuals, some workers, who do actually see an increase in their wages.
00:23:21.130 --> 00:23:35.066
We could see some reclassifications going on where individuals who might be just below that threshold, they get bumps, they're above the thresholds and keep their exempt status.
00:23:37.172 --> 00:23:51.278
But at the end of the day, it's a very difficult decision because it forces the employer to either promote or demote an employee.
00:23:52.099 --> 00:24:16.510
And you think about early in your career you were a salaried employee, you had responsibilities, it gave you the autonomy to be able to do the things that you needed to do in order to get the job done, whereas simply by having an income threshold that's that high, effectively you get demoted and you become an hourly employee.
00:24:16.551 --> 00:24:28.201
So now you've got to punch the clock, you've got to watch it like a hawk for overtime so that the employer doesn't want you to go into overtime because that disrupts their budgets.
00:24:28.201 --> 00:25:02.877
So I would say, from a business standpoint, there's a lot of downside to it, particularly if we get into a situation where they do actually do a three-year update, because essentially it puts you on a merry-go-round Every three years you're going to have to reclassify employees and look at the wages, salaries and see where they're at in relation to what the new thing is, whereas typically it's been done on a periodic basis, so it allows some time in between for things to settle before you actually have to go through that process again.
00:25:02.877 --> 00:25:09.355
So I think from an employer standpoint there's more downside than potential upside.
00:25:10.637 --> 00:25:18.876
Regardless of what's happening and whatever perspective you see, is there a way to prepare?
00:25:18.876 --> 00:25:32.743
So, for example, from both sides, is there a way from a club, maybe a little bit on that threshold, or potentially, is there a way for them to prepare, because it looks like, it sounds like we have like three, four months-ish five.
00:25:32.743 --> 00:25:44.509
So is there anything from that person on the bubble perspective and then also from a higher-up management perspective, how can both sides prepare?
00:25:45.355 --> 00:25:46.719
Yeah, I think clubs.
00:25:46.719 --> 00:25:53.755
Obviously we have an idea of a range of where that threshold is going to be.
00:25:53.755 --> 00:26:01.409
Typically, what happens when they update these thresholds is they propose a rule with a number.
00:26:01.409 --> 00:26:05.407
This time, what they did was they proposed the rule with a range.
00:26:05.407 --> 00:26:12.207
Like I said it remember it's anywhere from 55,000 to 61,000.
00:26:12.207 --> 00:26:15.515
So we don't know exactly what that number is going to be.
00:26:16.596 --> 00:26:36.471
But for preparation purposes, if I'm a club, what I'm looking at is who are my employees that are between $35,568 and that $61,000 threshold that's in the proposed rule, and what's my plan for?
00:26:36.471 --> 00:26:39.661
Yes, the rule does get finalized at that level.
00:26:39.661 --> 00:26:41.806
How am I going to classify them?
00:26:41.806 --> 00:26:52.519
Am I going to increase their salary to get above that threshold or am I going to effectively demote them and make them an hour of the employee?
00:26:52.519 --> 00:27:02.669
So that's really those individuals that are as employees, that are in that window, are really where employers need to focus.
00:27:02.669 --> 00:27:22.383
And of course, there's a follow-on effect, because if you have somebody who you want to have as an exempt employee but they might be earning $40,000 or $45,000 and you bump them up to $60,000, now you have other employees that may have been at $60,000 or $61,000 or $62,000.
00:27:22.383 --> 00:27:31.183
And now they might be affecting an increase as well, because you get into equity situations in terms of your employees.
00:27:31.183 --> 00:27:42.540
So it's something that you really need to sit down and go through strategically and look at how it affects other employees that may not even be affected by that threshold.
00:27:43.865 --> 00:27:46.551
So it is like I said before.
00:27:46.813 --> 00:27:57.782
That's why we want to avoid getting on the merry go around every three years, because it's not a simple process and it has implications that go beyond just the employees that are affected by that individual threshold.
00:27:57.782 --> 00:28:14.729
What clubs and managers need to do is again look at the individuals that you have in those salary ranges between $35,000 and $61,000, and where do they sit within the overall structure of the management of your club.
00:28:14.729 --> 00:28:18.346
Look at it from.
00:28:18.346 --> 00:28:27.367
Obviously there's budgetary implications, there's managerial implications how do they fit within your structure?
00:28:27.367 --> 00:28:34.770
And figure out okay, if it's $61,000, how do I want to classify that individual?
00:28:34.770 --> 00:28:49.974
And then I think what you need to do is start having conversations with your employees and talk to them about the changes that you're being forced to make, because these are not things that you're doing voluntarily.
00:28:49.974 --> 00:28:53.213
You have to do them under the Department of Labor's regulations.
00:28:53.213 --> 00:29:11.730
So that just kicks off a lot of conversations that managers are going to have with their employees that are within that range For employees.
00:29:11.730 --> 00:29:19.180
It's sort of a situation where you just have to see how things shake out.
00:29:19.700 --> 00:29:20.621
There's not really any.
00:29:20.621 --> 00:29:23.049
Go and start that conversation.
00:29:23.049 --> 00:29:45.555
If you're in the management position, starting to look at it and have those conversations with those people, and if you are on that bubble, then it's having that conversation and being proactive in going to the manager or whoever and going hey, I heard about this thing, what are we doing here?
00:29:45.615 --> 00:29:48.097
Yeah, Right, yeah, I mean, and that's.
00:29:48.097 --> 00:29:57.939
I definitely would encourage folks to have that conversation if they're in that position.
00:29:58.865 --> 00:30:06.218
Well, and it's hey, talk to your spouses and what are their companies and employees doing also?
00:30:06.218 --> 00:30:09.330
Yeah, it's a big, very powerful fact.
00:30:09.852 --> 00:30:14.453
Yeah, it is going to affect a lot of people.
00:30:15.704 --> 00:30:22.117
Anything else going on for November in terms of anything in your neck of the woods?
00:30:22.785 --> 00:30:24.310
What's happening in Washington in November?
00:30:24.310 --> 00:30:26.374
Lots of stuff.
00:30:26.374 --> 00:30:30.547
We know we're still in the process of trying to figure out how the government's going to be funded.
00:30:30.547 --> 00:30:37.095
House Republicans met this morning to talk about that and their approach.
00:30:37.095 --> 00:30:48.849
The Senate is basically going to jam the House and pass a continuing resolution and the House is going to have to figure out what they want to do.
00:30:48.849 --> 00:31:01.174
So, yeah, we're in for some interesting times because the government, if they don't get a deal, shut down in 10 days on November 17.
00:31:01.174 --> 00:31:06.934
So we're back into the frying pan, as they say.
00:31:09.067 --> 00:31:12.545
I feel like we're in an episode of Parks and Recreation.
00:31:12.545 --> 00:31:17.656
I don't know if you're a fan of that show, but the government shut down and it was just funny yeah.
00:31:20.549 --> 00:31:23.615
It seems like we jump between the frying pan and the fire.
00:31:23.615 --> 00:31:28.031
Fire gets a little hot, jumping in the frying pan, jump back into the fire.
00:31:28.031 --> 00:31:31.853
So yeah, we'll see how things play out.
00:31:31.853 --> 00:31:37.076
But we have a new speaker and he's got a challenge ahead of him.
00:31:37.076 --> 00:31:45.196
The administration just announced that they're adding 64,000 supplemental H2B visas.
00:31:45.196 --> 00:31:50.513
So we'll get a word from them on how they're going to allocate those.
00:31:50.513 --> 00:31:54.349
So that's a development.
00:31:54.349 --> 00:31:55.733
What does that mean Just recently?
00:31:55.733 --> 00:32:34.571
So the H2B program is a program for, essentially, guest workers from outside the US to come in on a seasonal basis, so whether it's the first part of the year, the second part of the year, and yeah, they fill jobs from anywhere from back of the house green, keeping front of the house, wait staff so it's a way for clubs, a program that clubs use to supplement their workforce every year, and would that also apply?
00:32:34.772 --> 00:32:36.588
I'm just ignorant, I just don't know anything.
00:32:36.588 --> 00:32:40.835
Would that also apply to management positions and GM positions?
00:32:40.835 --> 00:32:43.470
Would they also need that particular visa?
00:32:43.470 --> 00:32:44.551
No, okay.
00:32:44.792 --> 00:32:52.536
No, no, this is really for the essential worker skill level Gotcha.
00:32:52.536 --> 00:32:56.934
So management would be a different kettle of fish.
00:32:57.744 --> 00:33:03.971
So that person, if they were a killer, wouldn't be able to necessarily move up though with that particular visa.
00:33:03.971 --> 00:33:05.922
They would have to stay just firm.
00:33:06.885 --> 00:33:11.134
No, they're approved for a particular job, gotcha.
00:33:11.134 --> 00:33:21.609
So, hmm, yep, but it's a big program, it is an important program for clubs, and so it's something that we keep an eye on.
00:33:21.609 --> 00:33:44.347
And there's some possibility of some changes to the H2P program within the confines of the statute, but it's unknown at this point, given where things are at with your appropriations process, because if anything were to happen, it would be on the appropriations bill that looks through.
00:33:46.144 --> 00:33:50.873
And when would that happen and what's the timeline for that?
00:33:51.585 --> 00:34:07.897
Well, it's all wrapped up in the discussions on how the government funds itself, so we'll have more clarity when they figure out how they're going to do the continuing resolution and or permanent fundings for the various agencies.
00:34:07.897 --> 00:34:09.851
It'll be, interesting.
00:34:09.851 --> 00:34:10.909
I wish I had a better answer.
00:34:13.552 --> 00:34:14.155
I get it.
00:34:14.155 --> 00:34:15.844
No, I mean, it sounded good.
00:34:15.965 --> 00:34:24.672
It's often the case as often as the case, it's the government, so we don't always have great answers.
00:34:26.025 --> 00:34:26.969
So hopefully by like Friday.
00:34:29.887 --> 00:34:30.929
Well, a couple of weeks.
00:34:30.929 --> 00:34:32.693
Yeah, that's a couple of weeks.
00:34:33.012 --> 00:34:33.954
No, we'll give them some time.
00:34:33.954 --> 00:34:34.936
Give them some time.
00:34:34.936 --> 00:34:38.711
All right, sir, it is November 7th.
00:34:38.711 --> 00:34:47.672
I will see you soon at the championship conference, excited to come down and learn everything there and report them back on it.
00:00:00.882 --> 00:00:04.187
00:00:04.187 --> 00:00:06.272
00:00:06.272 --> 00:00:13.792
00:00:13.792 --> 00:00:19.760
00:00:19.760 --> 00:00:27.943
00:00:27.943 --> 00:00:39.988
00:00:40.651 --> 00:00:43.243
00:00:43.243 --> 00:00:45.067
00:00:45.067 --> 00:00:51.036
00:00:51.036 --> 00:00:59.006
00:00:59.006 --> 00:01:04.605
00:01:05.227 --> 00:01:14.617
00:01:14.617 --> 00:01:42.805
00:01:42.805 --> 00:01:45.840
00:01:45.840 --> 00:01:54.061
00:01:54.061 --> 00:01:56.808
00:01:57.691 --> 00:02:01.882
00:02:01.882 --> 00:02:05.046
00:02:05.046 --> 00:02:14.520
00:02:14.520 --> 00:02:17.652
00:02:17.652 --> 00:02:18.856
00:02:18.856 --> 00:02:22.026
00:02:22.026 --> 00:02:26.198
00:02:26.498 --> 00:02:29.366
00:02:29.366 --> 00:02:31.350
00:02:31.350 --> 00:02:34.626
00:02:34.626 --> 00:02:41.242
00:02:41.242 --> 00:02:45.512
00:02:45.512 --> 00:02:49.004
00:02:49.004 --> 00:02:50.568
00:02:52.372 --> 00:02:53.235
00:02:53.235 --> 00:02:58.491
00:02:59.395 --> 00:03:03.645
00:03:03.645 --> 00:03:14.050
00:03:14.050 --> 00:03:16.534
00:03:16.534 --> 00:03:20.948
00:03:20.948 --> 00:03:29.216
00:03:29.216 --> 00:04:09.549
00:04:09.748 --> 00:04:20.526
00:04:20.526 --> 00:04:33.814
00:04:33.814 --> 00:04:38.084
00:04:38.084 --> 00:04:39.567
00:04:39.567 --> 00:04:53.651
00:04:54.721 --> 00:05:00.153
00:05:00.319 --> 00:05:02.331
00:05:04.081 --> 00:05:04.954
00:05:05.716 --> 00:05:07.040
00:05:07.040 --> 00:05:17.283
00:05:17.283 --> 00:05:25.348
00:05:25.348 --> 00:05:29.322
00:05:30.735 --> 00:05:31.358
00:05:31.358 --> 00:05:42.146
00:05:44.197 --> 00:05:54.620
00:05:54.620 --> 00:05:56.105
00:05:56.105 --> 00:06:06.675
00:06:06.675 --> 00:06:09.545
00:06:10.475 --> 00:06:24.485
00:06:24.485 --> 00:06:32.600
00:06:32.600 --> 00:06:42.980
00:06:42.980 --> 00:06:50.119
00:06:50.119 --> 00:07:01.021
00:07:01.021 --> 00:07:03.206
00:07:03.214 --> 00:07:14.245
00:07:14.245 --> 00:07:33.761
00:07:33.761 --> 00:07:49.706
00:07:49.706 --> 00:07:52.781
00:07:52.781 --> 00:08:44.706
00:08:44.855 --> 00:08:55.000
00:08:55.000 --> 00:09:21.048
00:09:21.048 --> 00:09:35.404
00:09:36.956 --> 00:10:02.121
00:10:02.121 --> 00:10:04.586
00:10:04.586 --> 00:10:06.375
00:10:06.414 --> 00:10:36.669
00:10:36.669 --> 00:10:57.187
00:10:59.231 --> 00:11:27.917
00:11:27.917 --> 00:11:29.650
00:11:29.650 --> 00:11:44.682
00:11:44.682 --> 00:11:46.537
00:11:46.537 --> 00:11:54.830
00:11:54.830 --> 00:11:57.879
00:11:57.879 --> 00:12:00.385
00:12:00.405 --> 00:12:02.955
00:12:02.955 --> 00:12:16.465
00:12:16.465 --> 00:12:32.556
00:12:32.556 --> 00:12:48.552
00:12:48.552 --> 00:12:57.395
00:12:58.010 --> 00:13:03.379
00:13:03.379 --> 00:13:13.176
00:13:13.176 --> 00:13:16.671
00:13:16.671 --> 00:13:17.975
00:13:17.975 --> 00:13:19.313
00:13:19.313 --> 00:13:26.190
00:13:28.013 --> 00:13:32.501
00:13:32.501 --> 00:13:49.062
00:13:49.062 --> 00:14:11.780
00:14:11.780 --> 00:14:12.582
00:14:12.970 --> 00:14:13.692
00:14:13.692 --> 00:14:15.211
00:14:15.211 --> 00:14:17.735
00:14:17.735 --> 00:14:18.998
00:14:18.998 --> 00:14:21.923
00:14:21.923 --> 00:14:23.774
00:14:25.190 --> 00:14:56.537
00:14:56.537 --> 00:14:58.402
00:14:58.402 --> 00:15:00.677
00:15:00.677 --> 00:15:01.500
00:15:01.500 --> 00:15:04.538
00:15:04.538 --> 00:15:14.381
00:15:14.381 --> 00:15:28.581
00:15:28.581 --> 00:16:14.144
00:16:14.144 --> 00:16:16.855
00:16:16.855 --> 00:16:26.495
00:16:26.535 --> 00:16:53.171
00:16:53.171 --> 00:17:08.612
00:17:08.612 --> 00:17:25.663
00:17:25.663 --> 00:17:50.018
00:17:52.109 --> 00:17:54.999
00:17:54.999 --> 00:18:06.792
00:18:06.792 --> 00:18:40.462
00:18:40.462 --> 00:18:48.393
00:18:48.393 --> 00:19:03.540
00:19:04.759 --> 00:19:15.571
00:19:15.571 --> 00:19:29.848
00:19:29.848 --> 00:19:32.208
00:19:32.208 --> 00:19:44.820
00:19:46.863 --> 00:19:48.446
00:19:50.039 --> 00:19:54.330
00:19:54.330 --> 00:19:55.482
00:19:55.482 --> 00:19:57.670
00:19:57.670 --> 00:20:00.910
00:20:00.910 --> 00:20:03.608
00:20:03.608 --> 00:20:12.170
00:20:12.170 --> 00:20:21.653
00:20:22.000 --> 00:20:26.142
00:20:28.079 --> 00:20:50.346
00:20:52.039 --> 00:21:03.709
00:21:03.709 --> 00:21:14.990
00:21:14.990 --> 00:21:38.212
00:21:38.212 --> 00:21:50.730
00:21:50.730 --> 00:22:10.246
00:22:10.246 --> 00:22:11.829
00:22:13.059 --> 00:22:17.530
00:22:17.530 --> 00:22:23.606
00:22:23.606 --> 00:22:25.852
00:22:25.852 --> 00:22:28.609
00:22:28.609 --> 00:22:32.507
00:22:32.507 --> 00:22:40.345
00:22:40.345 --> 00:22:44.391
00:22:45.615 --> 00:22:48.080
00:22:48.080 --> 00:22:59.045
00:22:59.045 --> 00:23:08.846
00:23:08.846 --> 00:23:21.130
00:23:21.130 --> 00:23:35.066
00:23:37.172 --> 00:23:51.278
00:23:52.099 --> 00:24:16.510
00:24:16.551 --> 00:24:28.201
00:24:28.201 --> 00:25:02.877
00:25:02.877 --> 00:25:09.355
00:25:10.637 --> 00:25:18.876
00:25:18.876 --> 00:25:32.743
00:25:32.743 --> 00:25:44.509
00:25:45.355 --> 00:25:46.719
00:25:46.719 --> 00:25:53.755
00:25:53.755 --> 00:26:01.409
00:26:01.409 --> 00:26:05.407
00:26:05.407 --> 00:26:12.207
00:26:12.207 --> 00:26:15.515
00:26:16.596 --> 00:26:36.471
00:26:36.471 --> 00:26:39.661
00:26:39.661 --> 00:26:41.806
00:26:41.806 --> 00:26:52.519
00:26:52.519 --> 00:27:02.669
00:27:02.669 --> 00:27:22.383
00:27:22.383 --> 00:27:31.183
00:27:31.183 --> 00:27:42.540
00:27:43.865 --> 00:27:46.551
00:27:46.813 --> 00:27:57.782
00:27:57.782 --> 00:28:14.729
00:28:14.729 --> 00:28:18.346
00:28:18.346 --> 00:28:27.367
00:28:27.367 --> 00:28:34.770
00:28:34.770 --> 00:28:49.974
00:28:49.974 --> 00:28:53.213
00:28:53.213 --> 00:29:11.730
00:29:11.730 --> 00:29:19.180
00:29:19.700 --> 00:29:20.621
00:29:20.621 --> 00:29:23.049
00:29:23.049 --> 00:29:45.555
00:29:45.615 --> 00:29:48.097
00:29:48.097 --> 00:29:57.939
00:29:58.865 --> 00:30:06.218
00:30:06.218 --> 00:30:09.330
00:30:09.852 --> 00:30:14.453
00:30:15.704 --> 00:30:22.117
00:30:22.785 --> 00:30:24.310
00:30:24.310 --> 00:30:26.374
00:30:26.374 --> 00:30:30.547
00:30:30.547 --> 00:30:37.095
00:30:37.095 --> 00:30:48.849
00:30:48.849 --> 00:31:01.174
00:31:01.174 --> 00:31:06.934
00:31:09.067 --> 00:31:12.545
00:31:12.545 --> 00:31:17.656
00:31:20.549 --> 00:31:23.615
00:31:23.615 --> 00:31:28.031
00:31:28.031 --> 00:31:31.853
00:31:31.853 --> 00:31:37.076
00:31:37.076 --> 00:31:45.196
00:31:45.196 --> 00:31:50.513
00:31:50.513 --> 00:31:54.349
00:31:54.349 --> 00:31:55.733
00:31:55.733 --> 00:32:34.571
00:32:34.772 --> 00:32:36.588
00:32:36.588 --> 00:32:40.835
00:32:40.835 --> 00:32:43.470
00:32:43.470 --> 00:32:44.551
00:32:44.792 --> 00:32:52.536
00:32:52.536 --> 00:32:56.934
00:32:57.744 --> 00:33:03.971
00:33:03.971 --> 00:33:05.922
00:33:06.885 --> 00:33:11.134
00:33:11.134 --> 00:33:21.609
00:33:21.609 --> 00:33:44.347
00:33:46.144 --> 00:33:50.873
00:33:51.585 --> 00:34:07.897
00:34:07.897 --> 00:34:09.851
00:34:09.851 --> 00:34:10.909
00:34:13.552 --> 00:34:14.155
00:34:14.155 --> 00:34:15.844
00:34:15.965 --> 00:34:24.672
00:34:26.025 --> 00:34:26.969
00:34:29.887 --> 00:34:30.929
00:34:30.929 --> 00:34:32.693
00:34:33.012 --> 00:34:33.954
00:34:33.954 --> 00:34:34.936
00:34:34.936 --> 00:34:38.711
00:34:38.711 --> 00:34:47.672