29 C.F.R. § 778.118   Commission paid on a workweek basis.


Title 29 - Labor


Title 29: Labor
PART 778—OVERTIME COMPENSATION
Subpart B—The Overtime Pay Requirements
Principles for Computing Overtime Pay Based on the “Regular Rate”

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§ 778.118   Commission paid on a workweek basis.

When the commission is paid on a weekly basis, it is added to the employee's other earnings for that workweek (except overtime premiums and other payments excluded as provided in section 7(e) of the Act), and the total is divided by the total number of hours worked in the workweek to obtain the employee's regular hourly rate for the particular workweek. The employee must then be paid extra compensation at one-half of that rate for each hour worked in excess of the applicable maximum hours standard.

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