Averagin Overtime

My company is considering going to 12 hour shifts. The result would be non-exempt employees would work 36 hours one week and 48 the next. Due to some antiquated payroll issues, there is consideration being given to pay the employees as follows:

36 hour week - pay 40 hours straight time
48 hour week - pay 48 hours straight time (classified as 40 hours straight time and 8 hours straight time overtime)

I do not think this is legal by the FLSA but I am being told that since no one is losing money it is not a problem. I still have a problem with it and would like some other opinions.

Thanks.

Comments

  • 2 Comments sorted by Votes Date Added
  • >My company is considering going to 12 hour shifts. The result would be
    >non-exempt employees would work 36 hours one week and 48 the next. Due
    >to some antiquated payroll issues, there is consideration being given
    >to pay the employees as follows:
    >
    >36 hour week - pay 40 hours straight time
    >48 hour week - pay 48 hours straight time (classified as 40 hours
    >straight time and 8 hours straight time overtime)
    >
    >I do not think this is legal by the FLSA but I am being told that
    >since no one is losing money it is not a problem. I still have a
    >problem with it and would like some other opinions.
    >
    >Thanks.


    You must pay overtime on the 8 hours over 40 in a week. You cannot average the hours.

    Gary D. Jiles
    Arkansas Employment Law Editor
    Jack, Lyon & Jones, P.A.
    3400 TCBY Tower
    425 West Capitol Avenue
    Little Rock, Arkansas 72201
    (501) 375-1122
    [email]gdj@jlj.com[/email]




  • Can you redesignate when your payroll week starts to eliminate the OT hours in the second week? That may solve your problem.

    Margaret Morford
    theHRedge
    615-371-8200
    [email]mmorford@mleesmith.com[/email]
    [url]http://www.thehredge.net[/url]
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