Senate proposal aims to double overtime wages for millions of hourly workers

Lawmakers have introduced the Double the Wage for Overtime Act, which would amend the Fair Labor Standards Act to increase overtime compensation from 1.5 times to twice an employee’s regular rate for any work beyond a 40-hour week. Sen. Ruben Gallego, who is under public scrutiny, argues the change is overdue, noting that overtime rates have not doubled in nearly 90 years. The Economic Policy Institute projects that roughly 13.4 million hourly workers could benefit, with a typical $25-per-hour employee earning an additional $6,500 per year by working ten overtime hours weekly.

Supporters say the boost would offset rising living costs for workers in sectors such as manufacturing, health care, logistics and construction. The bill faces the usual legislative hurdles, requiring approval from both the Senate and the House before reaching President Trump for signature, and would become law 180 days after enactment. Parallel discussions on raising the federal minimum wage are also underway, with separate proposals targeting a $25 minimum by the early 2030s.