Smith Anderson (North Carolina): DOL Clarifies Requirements for Overtime Pay in Fluctuating Workweeks

The federal Department of Labor (DOL) has issued a final rule that will revise a Fair Labor Standards Act regulation to clarify that an employer may provide bonuses, premium pay, and hazard pay to non-exempt employees when using the fluctuating workweek method of overtime calculation. According to the DOL’s announcement, the rule “[a]ddresses the divergent views expressed by the Department and courts—and even among courts—that have created legal uncertainty for employers regarding the compatibility of various types of supplemental pay with the fluctuating workweek method.” MORE.

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