Consider Another Way to Calculate Overtime Pay

June 8, 2020

After decades in limbo, regulations that clarify certain overtime pay practices have been released by the U.S. Department of Labor (DOL). The newly finalized rules explain how to calculate overtime pay for nonexempt salaried employees using the “fluctuating workweek” (FWW) method.

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Supreme Court Spotlights Employee Status: Exempt or Not?

June 5, 2018
Employee Status

A recent U.S. Supreme Court ruling may have made it easier for employers to have confidence that they’re properly classifying workers as exempt or nonexempt — but as always, the devil is in the details.

Thousands of cases are appealed to the U.S. Supreme Court every year, but usually fewer than 100 get a full-blown hearing and ruling. One case that made it through in the current court term is Encino Motorcars v. Navarro. On the surface, this case looks at whether car dealer service advisors are exempt or nonexempt. But the larger issue affecting jobs of all kinds involves just how narrowly the relevant law — the Fair Labor Standards Act (FLSA) — can be interpreted when determining between exempt status and nonexempt.

The case was brought by service advisors at a Mercedes-Benz dealership in Los Angeles. They worked from 7 a.m. to 6 p.m. five days a week, which is well over 40 hours, and sought overtime pay for the difference. Read more