News & Analysis as of

Over-Time Sales Commissions

Ogletree, Deakins, Nash, Smoak & Stewart,...

Massachusetts Supreme Judicial Court Rejects Compensation Plan Allocating Commissions to Overtime and Premium Pay

On March 28, 2024, in Sutton v. Jordan’s Furniture, Inc., the Massachusetts Supreme Judicial Court (SJC) upheld a Massachusetts Superior Court decision finding the furniture retailer’s commission-based compensation scheme...more

Constangy, Brooks, Smith & Prophete, LLP

“Workin’ 9 to 5.” Is that still a thing?

If you answered no, then you’d better have the records needed to prove the number of overtime hours worked by your employees and the rates paid for them. If you don’t have the records, then borrowing a rhyme from the legal...more

Davis Wright Tremaine LLP

Get Ready for 2024: Review Overtime Exemptions and Pay Plans for Sales Employees

Now is the time to review overtime exemptions and pay plans for sales employees to be ready for 2024. The changing tech economy has created a class of sales employees who may not fit traditional overtime exemptions. Moreover,...more

Jackson Lewis P.C.

Cable Technicians Were Exempt Commissioned Employees, Fifth Circuit Concludes

Jackson Lewis P.C. on

Although the plaintiff cable technicians, who were paid by the completed job and not by the hour, were covered employees under the Fair Labor Standards Act (FLSA), they nonetheless were bona fide commissioned employees and...more

Jackson Lewis P.C.

Are Non-Emergency Transport Providers Employees or Independent Contractors? Jury Questions Exist, Eighth Circuit Holds

Jackson Lewis P.C. on

Reversing summary judgment in favor of the U.S. Department of Labor (DOL), the Eighth Circuit has held that jury questions exist as to whether the defendant employed drivers who provide non-emergency medical transport...more

Constangy, Brooks, Smith & Prophete, LLP

ABCs of Employment Law: The Fair Labor Standards Act (overtime)

Second of two on the FLSA. NOTE FROM ROBIN: In March, I began a series of very basic explanations of the federal laws that govern the workplace. The first installment covered discrimination in general, the second...more

Fox Rothschild LLP

The Ugly Side of Salon & Spa Compensation Revisited

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Several years ago, the payment structure for numerous salon and spa employees was turned on its head, as these salons and spas faced liability for paying employees a commission when they were not involved in sales. ...more

Jackson Lewis P.C.

Auto Technicians’ Pay Structure May Have Been Convoluted, But It Was Still A Bona Fide Commission Plan, Seventh Circuit Concludes

Jackson Lewis P.C. on

Although the employer’s pay system for its auto repair technicians was complicated and at times redundant, it nevertheless constituted a bona fide commissions compensation method subject to exemption from the overtime pay...more

Constangy, Brooks, Smith & Prophete, LLP

Think Your Commission-Only Plan Is Good?

Two of the more complicated areas of California wage-and-hour law involve commission plans and overtime exemptions. Commission plans are complex animals – long gone are the days where Joey gets 5 cents for each widget he...more

Littler

New DOL Guidance Expands Eligibility for the Commissioned Employee Overtime Exemption

Littler on

Under the Fair Labor Standards Act, retail or service establishment employees can be exempt from overtime pay requirements if they are paid more than one and a half times the minimum wage and more than half of their...more

Bradley Arant Boult Cummings LLP

Window Washers and Telegraph Operators Beware: DOL Eliminates Specific Retail and Non-Retail Examples Under Overtime Exemption...

For those of you craving a non-COVID-19 issue to chew upon, the Department of Labor opened the floodgates of debate by withdrawing the partial lists of establishments that could either be “recognized as retail” or “having no...more

Kilpatrick

DOL Issues Important Overtime Update for Commission-Based Retail and Service Industry Employees

Kilpatrick on

On Monday, May 19, the Department of Labor (“DOL”) withdrew the non-exhaustive lists of establishments that were potentially eligible for or excluded from the retail or service establishment exemption to overtime under...more

Foley Hoag LLP

U.S. Department of Labor Expands Commission Sales Exemption to Federal Overtime Requirements

Foley Hoag LLP on

On May 18, 2020, the Wage and Hour Division of the U.S. Department of Labor (DOL) issued a final rule eliminating a list of businesses prohibited from taking advantage of the commission sales exemption to the overtime...more

Proskauer - Law and the Workplace

Wage and Hour Division Modifies Rules For FLSA’s Retail Sales Exemption

On May 19, 2020, the United States Department of Labor’s Wage and Hour Division (WHD) implemented a final rule withdrawing partial lists of establishments that it previously interpreted as either having “no retail concept” or...more

Woods Rogers

U.S. Department of Labor Expands Overtime Exemption for Commission-Based Employees of Retail or Service Establishments

Woods Rogers on

On May 18, 2020, the Wage and Hour Division of the U.S. Department of Labor (DOL) announced a new final rule to govern the determination of whether an employer qualifies as a “retail or service” establishment for purposes of...more

Foley & Lardner LLP

A Win-Win: DOL Proposal Will Expand Use of Fluctuating Workweek Pay (And Some Bonus/Commission Overtime Pay Reminders)

Foley & Lardner LLP on

Earlier this month, the Department of Labor (DOL) announced a proposed rulemaking that will make fluctuating workweek pay—FWW—more beneficial for employers and employees alike....more

Spilman Thomas & Battle, PLLC

DOL Adopts New Salary Threshold for White Collar Overtime Exemption

The Department of Labor (“DOL”) has revised its Overtime Rule that updates the earnings thresholds necessary to exempt executive, administrative and professional employees from the Fair Labor Standards Act’s (“FLSA”) minimum...more

Hutchison PLLC

Changes to Overtime Exemptions under the Fair Labor Standards Act

Hutchison PLLC on

In 2015, the U.S. Department of Labor introduced a proposed rule which would, in part, double the salary threshold required under the Fair Labor Standards Act (“FLSA”) to maintain exempt status under the “white-collar”...more

Bricker Graydon LLP

DOL Finalizes New Overtime Rule For White-Collar Exemptions: 1.3 Million Additional Workers Will Be Eligible For Overtime Pay...

Bricker Graydon LLP on

On September 24, 2019, the United States Department of Labor (DOL) issued its final rule revising the overtime exemptions that cover employees designated as executive, administrative and professional – the so-called...more

Hogan Lovells

DOL Finalizes New Rule That Will Potentially Make Millions of Employees Eligible For Overtime Pay In January 2020

Hogan Lovells on

On September 24, 2019, the U.S. Department of Labor (DOL) announced a final rule that, effective January 1, 2020, will increase the salary threshold, by approximately 50%, that so-called “white collar” employees must be paid...more

Sheppard Mullin Richter & Hampton LLP

It’s Here: The DOL’s Final Overtime Rule has Been Released

After years of uncertainty, on September 24, 2019, the Department of Labor released a Final Rule making changes to the Fair Labor Standards Act (“FLSA”) overtime regulations. BACKGROUND - Since 2004, there had been no...more

Proskauer - Law and the Workplace

The New Federal Overtime Rule: What You Need to Know

The U.S. Department of Labor issued its final rule amending the overtime regulations today, without any significant changes from the proposed rule the agency issued in March 2019.  Here’s the bottom line....more

Locke Lord LLP

Massachusetts’ Highest Court Holds that Employees Paid on Commissions are Entitled to Overtime and Sunday Pay

Locke Lord LLP on

Massachusetts law permits employers to pay inside salespeople on a commission only basis, provided that the employer guarantees at least the minimum wage for all regular hours worked. However, according to a recent decision...more

Foley & Lardner LLP

Court Says Massachusetts Commission-Only Inside Sales Employees Are Entitled to Separate Overtime and Sunday Premium Pay

Foley & Lardner LLP on

In a blow to employers, the Massachusetts Supreme Judicial Court (SJC) recently clarified the overtime and Sunday premium pay rights of non-exempt inside sales employees paid solely by commissions or advances on commissions,...more

Harris Beach PLLC

Massachusetts Supreme Court Rules Commission-Only Retail and Inside Salespeople are Entitled to Separate Overtime and Sunday...

Harris Beach PLLC on

In a case of first impression, the Massachusetts Supreme Judicial Court has found that, under Massachusetts law, retail and inside sales employees, paid entirely on a commission or draw basis, are entitled to separate and...more

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