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Are the unions the real winners in the IBM Overtime suit?


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When all is said and done, I wonder if organized labor could be the ultimate beneficiary of  IBM’s recent decision to settle the overtime lawsuit. In the settlement, 8 thousand workers were reclassified as non-exempt and made eligible for overtime but were immediately given a 15% pay cut so that expenses wouldn’t change. This certainly falls under the category of “be careful what you ask for.” With a possible economic slowdown looming and the potential for reduced career mobility, will more workers seek representation in retaliation?

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