Certain statutory exceptions permitting alternative methods of computing overtime pay in such cases are discussed in 778.400 and 778.415 through 778.421.Įxample of how to use the weighted average method:Īn employee works 40 regular and 4.5 overtime hours at $10 per hour for clerical work at the office. That is, his total earnings (except statutory exclusions) are computed to include his compensation during the workweek from all such rates, and are then divided by the total number of hours worked at all jobs. Where an employee in a single workweek works at two or more different types of work for which different non-overtime rates of pay (of not less than the applicable minimum wage) have been established, his regular rate for that week is the weighted average of such rates. 778.115 - Employees working at two or more rates. The two regulations that deal with those methods are shown below (the first deals with the weighted average method, and the second deals with the other method), along with examples of each: 29 C.F.R. The other method is allowed under section 207(g)(2) of the Act and is explained in regulation 29 C.F.R. ![]() The "default method" under the regulations is the weighted average method, found in 29 C.F.R. ![]() In the situation of an employee who works two different jobs at two different rates of pay, the FLSA allows two different methods of computing the regular rate for overtime calculation purposes: 1) the weighted average and 2) the regular rate associated with the job that caused the overtime to occur.
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