An investigation by the Department of Labor’s Wage and Hour Division recovered the money for 12 workers who provided lessons, merchandise sales and equipment services to members and guests at Belle Meade CC in Nashville, because overtime was paid at rates lower than allowed by the Fair Labor Standards Act. “Employers who pay commissions, production bonuses and other incentives must include those earnings in the weekly overtime computations,” a department official said. “This case should encourage all employers to review their pay practices and contact the division with questions to avoid violations.”
Errors in calculating overtime wages of workers at Belle Meade Country Club in Nashville, Tenn. led the U.S. Department of Labor (DOL) to recover $93,750 in back wages and liquidated damages for 12 workers, the federal agency announced on November 1st, as reported by The Tennessean.
An investigation recovered money for 12 workers who provided lessons, merchandise sales and equipment services to members and guests at Belle Meade CC, The Tennessean reported.
According to a DOL news release, investigators with the department’s Wage and Hour Division found the country club failed to include commission payments when overtime pay for employees who worked more than 40 hours in a workweek was computed, The Tennessean reported.
By doing so, the agency reported, the country club paid overtime at rates lower than the law allows in violation of the Fair Labor Standards Act (FLSA), The Tennessean reported.
A Belle Meade spokesperson could not immediately be reached for comment, The Tennessean reported.
“Employers who pay commissions, production bonuses and other incentives must include those earnings in the weekly overtime computations,” Pamela Sullivan, Acting District Director for the Wage and Hour Division in Nashville, told The Tennessean.
“Although employers may intend to benefit non-exempt employees with commission incentive payments, they must ensure they comply with federal overtime laws when they do,” Sullivan added. “This case should encourage all employers to review their pay practices and contact the division with questions to avoid violations.”
More information about the FLSA and other laws enforced by the division can be obtained through the agency’s toll-free helpline at 866-4US-WAGE (487-9243), The Tennessean reported.
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