Rehabilitation and Nursing Care workers were owed overtime in a recent settlement: (1) when not fully paid for off the clock work, (2) when overtime was denied because work hours were not totaled from two facilities with a common owner, (3) due to the owner’s failure to include shift differential pay in the Regular Rate when calculating overtime pay, and (4) due to clock rounding errors which regularly shorted employees.
Overtime pay is not paid as straight time. Overtime pay is calculated at 1 ½ times the employee’s regular rate of pay. Two recent cases found employers paying only straight time no matter how many hours are worked. Both employers were located in smaller towns but in different industries. Workers in small towns or rural areas are some times without a lot of job choices. These workers are particularly vulnerable to being cheated out of overtime.
This new case involves an employer in the window installation and repair business. The company failed to pay installation crews for travel time spent driving between job sites during the work day. It failed to pay window technicians for time spent loading and unloading materials. Further, bonuses paid to lead technicians should be used when calculating overtime rates.
Window Restoration Acquisition Corp. paid $45,257 in back wages and liquidated damages to seven employees for violating the overtime provisions of the Fair Labor Standards Act (FLSA).
An Oregon employer violated the Fair Labor Standards Act (FLSA) when it failed to include production bonuses in calculating overtime. It failed to include an annual bonus for each hour worked and a daily driver’s bonus. West Coast Reforestation Inc. – based in Salem, Oregon – will pay $73,383 to 26 employees for violating overtime and record keeping provisions of the FLSA.
Overtime pay is 1 ½ times the employee’s “Regular Rate.” In many situations, the “Regular Rate” is simply the hourly pay rate. If the employee makes $10.00 per hour, then the overtime rate is $15.00 per hour [1 ½ times $10.00 = $15.00].