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Photo: Associated Press

The Society for Human Resource Management (SHRM) says new rules on overtime pay pose a risk to charitable organizations as well as businesses.

Elizabeth Hays, a SHRM member and the director of human resources for MHY Family Services, a Pennsylvania-based charity that serves at-risk youth, told the U.S. House Subcommittee on Workforce Protections Thursday that the Obama administration’s proposal poses a serious financial threat to her organization because it would force the nonprofit to pay overtime to employees who are currently exempt from overtime pay requirements.

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