The USDOL has proposed to update its guidance regarding how the "regular rate" is calculated for purposes of overtime pay.
Despite most of the government being occupied with the "shutdown" dilemma, the unaffected USDOL has remained busy and gifted us with two opinion letters today.
Employers should be careful when considering whether and how to use compensation-based measures as substitutes for more-direct means of managing employee conduct.
Perhaps the conditions are right for a coalition drawn from employees, employers, and government representatives to wrestle the FLSA into the 21st century.
Notwithstanding incomplete or over-simplified U.S. Department of Labor "guidance", employers should recognize that the FLSA overtime regular rate will almost always vary as the overtime hours worked in a workweek vary.
Some employers have adopted one or more of a variety of percentage-based approaches to dealing with the FLSA overtime ramifications of bonuses.