29 C.F.R. § 779.412   Compensation requirements for overtime pay exemption under section 7(i).


Title 29 - Labor


Title 29: Labor
PART 779—THE FAIR LABOR STANDARDS ACT AS APPLIED TO RETAILERS OF GOODS OR SERVICES
Subpart E—Provisions Relating to Certain Employees of Retail or Service Establishments
Employees Compensated Principally by Commissions

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§ 779.412   Compensation requirements for overtime pay exemption under section 7(i).

An employee of a “retail or service establishment” who is paid on a commission basis or whose pay includes compensation representing commissions need not be paid the premium compensation prescribed by section 7(a) for overtime hours worked in a workweek, provided the following conditions are met:

(a) The “regular rate” of pay of such employee must be more than one and one-half times the minimum hourly rate applicable to him under section 6, and

(b) More than half his compensation for a “representative period” (not less than one month) must represent commissions on goods or services.

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