Fluctuating Work Week

Posted By: HR Banker

Fluctuating Work Week - 08/05/20 03:50 PM

I'm getting questions whether we are required to use the fluctuating work week method to calculate overtime. We have very little OT worked by salaried, non-exempt employees and have always paid their time over 40 at a time and a half rate which calculates as more $ than if we used the fluctuating method. Our work week normally only varies by a couple of hours so not sure that qualifies as a fluctuating work week. Any thoughts?
Posted By: rlcarey

Re: Fluctuating Work Week - 08/05/20 03:57 PM

Are you paying them an agreed upon salary each week regardless of the number of hours worked?
Posted By: HR Banker

Re: Fluctuating Work Week - 08/05/20 04:41 PM

Yes. The salary amount is the same for any number of hours up to 40.
Posted By: rlcarey

Re: Fluctuating Work Week - 08/05/20 05:12 PM

Then it sounds like you might be eligible. https://www.dol.gov/agencies/whd/fact-sheets/82-bonus-rule
Posted By: HR Banker

Re: Fluctuating Work Week - 08/05/20 05:17 PM

Even though eligible, we can choose not to use this method, correct? We have very little OT .
Posted By: rlcarey

Re: Fluctuating Work Week - 08/05/20 05:20 PM

Yes - the way I understand it, it might save you a couple of bucks, but the headache of managing it for a few hours here and there is probably not worth the effort.
Posted By: HR Banker

Re: Fluctuating Work Week - 08/05/20 05:26 PM

Those were my thoughts as well. Thanks for verifying!!