Employers generally recognize that their non-exempt employees must receive overtime premiums on their base pay – in most cases, their hourly wage – when they work overtime. However, not all employers are as well attuned to the requirement that overtime premiums may also be required on other, “supplemental” components of compensation to nonexempt employees. Bonuses are a common example.
Home > Federal Law Articles > FLSA > Holiday Pay, Gifts, Bonus > Paying Bonuses to Non-Exempt Employees: Avoiding Class-Wide Overtime Violations