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this post was submitted on 13 Jul 2024
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chapotraphouse
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"Congress should clarify that the “regular rate” for overtime pay is based on the salary paid rather than all benefits provided. This would enable employers to offer additional benefits to employees without fear that those benefits would dramatically increase overtime pay"
I don't understand this one. I've never heard of anyone making OT on benefits.
It's a rule the DoL issued in 2019 to "clarify" the prior FLSA regulations. I've also never heard of getting OT on benefits and I doubt there was any real confusion. Whether its good policy, I dunno. It's plausible to me that including non-cash compensation in overtime would disincentive benefits in a way that left the worker worse off, but, ya know, maybe healthcare and retirement shouldn't be contingent on one's employer.
Anyway, this is the Heritage Foundation trying to convert that rule to a law.
I would like one and a half health insurances when I work late, please.
from what that link says, it sounds like the rule was made mostly to get around employers saying "this part of your paycheck is a bonus, not a wage, so it's exempt from the time and a half rule"
That's a good point. I suppose this could be important for folks paid on commission and things like that.