Automatic Merchandiser

JAN-FEB 2014

Automatic Merchandiser serves the business management, marketing, technology and product information needs of its readers including vending operators, coffee service operators, product brokers, and product and equipment distributors in print.

Issue link: http://automaticmerchandiser.epubxp.com/i/261865

Contents of this Issue

Navigation

Page 30 of 35

over 8 hours in a day), they must be compensated overtime pay for those hours worked in excess. This could mean paying them an hourly wage and then time and a half for any overtime hours. Operators can still pay them commission only, but then need to calculate overtime pay accordingly based upon their weekly commission and hours. Operators can pay them a salary still, but then need to determine their overtime pay from there. Operators are also allowed to pay a hybrid of all these types of com- pensation systems — so long as they continue to pay them the required overtime pay as well. Generally, an employee's regular rate of pay is determined by "divid- ing his total [compensation, includ- ing non-discretionary bonuses, but minus any exclusions] in any work- week by the total number of hours actually worked by him in that work- week for which such compensation was paid." Which is documented in 29 C.F.R.§778.109. This calculation gives operators the employee's regular hourly rate. The operator can use this rate to determine the overtime rate, which the employee is then compen- sated an additional one-half of this rate for all overtime hours worked since the regular rate calculation already includes the employee getting compensated for straight time for all hours worked. 29 C.F.R.§778-118. Additionally, operators must keep track of each driver's hours worked each day, if it be a time clock or turned in time sheets, so that there is a record of their hours worked with no dis- putes of he-said-she-said. When an employee goes to sue for overtime compensation, his/her memory of working overtime is usually embel- lished — having a solid record of hours worked keeps them honest and an operator "out of jail." If route driv- ers are non-exempt, it is best to meet with an employment labor counsel to confrm your way of paying the route drivers is acceptable. If not, the dam- ages and penalties that lie ahead could be devastating to your company. February 2014 VendingMarketWatch.com Automatic Merchandiser 31 MAIL AD COPY TO: Automatic Merchandiser, Attn: Ted Banach, P.O. Box 803, Fort Atkinson, WI 53538-0803 Inquiries to Ted Banach: Toll Free: 800-547-7377 x1314 • E-mail: Ted.Banach@cygnus.com Marketplace Point of Use Dispensers 2 & 3 Temperature Floor Standing & CounterTop 2 Filtration Options A Full Range of Models at Affordable Prices - visit our website for more info w w w. Ve r t e x Wa t e r. c o m WATER PRODUCTS Montclair, California (909) 626-2100 fax (909) 626-3535 info@VertexWater.com 800-627-2146 About the Author Heather A. Bailey, Esq., one of Illinois' 2014 Super Lawyers, is a partner with SmithAmundsen LLC and a National Automatic Merchan- dising Association Knowledge Source Partner for over a decade. She focuses her practice on labor and employment law issues for employers. She may be contacted directly at 312-894-3266 or hbailey@salawus.com. 2014 Employment Law Alert See more from Heather A. Bailey about what's new in employment laws for 2014. www.vendingmarketwatch.com/ 11293893 Thinkstock O V E R T I M E C O M P E N S A T I O N

Articles in this issue

Links on this page

Archives of this issue

view archives of Automatic Merchandiser - JAN-FEB 2014