FLSA Overtime Weighted Hours

About this regulation

This regulation has been in effect since April 1st, 1998. Additional information is available on the U.S. Department of Labor website.

Which employee groups are subject to this regulation?

All non-union employees are subject to this rule.

The following union contracts are subject to this rule:

• IATSE West Coast Agreements
• IATSE Videotape Agreement
• IATSE Theatrical Low Budget Agreement

What are the eligibility requirements?

• Employees must work more than 40 hours per week
• Employees must not be “on call”

Where will I see FSLA added in my GreenSlate project?

When required, an “other earning” item labeled “FLSA Weighted Hours OT” will be added when the timecard is saved.

Can I edit or remove the other earning item?

This “other earning” item cannot be edited.

The item can be removed, but will be re-applied when the timecard is saved (provided nothing else has changed).

How is the premium calculated?

The FLSA Bump that appears is calculated using the difference between the “Conventional Overtime Premium” and the “FLSA Weighted Overtime Premium”. These premiums are defined as follows:

The Conventional Overtime Premium is calculated by summing the result of this formula for each Position:

Total Overtime Amount - ( 1x Rate * Overtime Hours )

The FLSA Weighted Overtime Premium is calculated as:

FLSA Weighted Overtime Premium Rate * Overtime hours for All Positions

Understanding the “FLSA Weighted Overtime Premium” concept

Under the FLSA, “Overtime” means x1.5 times the regular rate. Whether an employee originally got paid 1.5x, 2x, or using a higher multiplier, all of these hours will be calculated using a 1.5x for the sake of FLSA calculations (1.5x is the Federal standard for time worked after 40 hours per week)

The logic of the FLSA Weighted Overtime Premium is that the employee has already been paid for the “1x” portion of the overtime. Therefore, given that all overtime is considered x1.5, the only thing that remains is 0.5x, or “half-time”.

To calculate this premium, we need these variables:

• Penalties: Meal penalties, Hazard Pay (including payments for flights and dives), Night premiums
• FLSA payout: 1x Rate * Total Hours Worked + Penalties
  Note: this is calculated per position and summed.
• FLSA 1x Rate: FLSA Payout / Total Hours Worked (across all positions)
• FLSA Weighted Overtime Rate: FLSA 1x Rate / 2

Example

Employee X works under 2 positions within the same week:

• Position A @ $10/hour
• Position B @ $20/hour

The Timecard for Employee X is broken out as follows

Employee X also received $60 in meal penalties and $60 in hazard pay for the week.

FLSA Premium calculation

FLSA payout = $960
1x Rate * Total Hours Worked + Penalties

• Position A = $10 * 36 hours
• Position B = $20 * 24 hours
• Penalties = $120

FLSA 1x Rate = $960 / 60 hours = $16
FLSA Payout / Total Hours Worked (across all positions)

FLSA Weighted Overtime Rate: $16/2 = $8
FLSA 1x Rate / 2

FLSA Weighted Overtime Premium = $8 * 20 hours = $160
FLSA Weighted Overtime Rate * Overtime hours for All Positions

Conventional Overtime Premium = $140

• Position A = $180 - ( $10 * 12 hours ) = $60

• Position B = $240 - ($20 * 8 hours) = $80

Total Overtime Amount - ( 1x Rate * Overtime Hours )

FLSA Bump = $160 - $140 = $20
MAX ( 0 , FLSA Weighted Overtime Premium - FLSA Conventional Overtime Premium )
(This amount is discarded if it is negative)