Yes, but only under limited circumstances. To qualify, the employment arrangement must first include a guarantee of at least the minimum weekly required amount of at least $455 per week, paid on a salary basis, regardless of the number of hours, days or shifts worked. In addition, a reasonable relationship must exist between the guaranteed amount and the amount actually earned.

The reasonable relationship test will be met if the weekly guarantee is roughly equivalent to the employee's usual earnings at the assigned hourly, daily or shift rate for the employee's normal scheduled workweek. The reasonable relationship test only applies if the employee's pay is computed on an hourly, daily or shift basis. The test does not apply, for example, if the employee is paid only commissions with a guarantee of a minimum salary. In all cases however, the employee must receive the full amount of salary in any week he or she works, even if the number of hours (or days or shifts) worked (or the amount of commissions earned) is not enough for the employee to make the guaranteed salary.

For example, if a manager whose actual compensation is determined on a shift or hourly basis usually earns $1,200 per week, the amount guaranteed must be roughly equivalent to $1,200; the employer could not guarantee such an employee only the $455 minimum salary level required. In any week in which the manager performed any work for the employer, the manager would receive at least the guaranteed amount of pay.

Questions? Contact an overtime lawyer at Werman Law Office, P.C.