Ray, a resident apartment manager at an over 16-unit complex,
is scheduled to maintain office hours form 9 a.m. to 5 p.m.
every weekday. Additionally, Ray is to show apartments to
prospective tenants from 10 a.m. to 2 p.m. every weekend.
For this, Ray is given a salary of $2,000 a month. Is there
a overtime violation?
Rational: Absent a written agreement stating otherwise,
a salary only applies to 40-hours of work a week for all employees
that are not exempt from the Labor Code (see note below).
Here, Ray's salary would only apply to the 9 a.m. to 5 p.m.
every weekday (40-hours). Thus, Ray is not being compensated
for the 10 a.m. to 2 p.m. spent on the weekend (8 hours).
Additionally, this time must be compensated at 1.5 times the
normal hourly rate, which would be $11.63 ($2,000 a month
/ 4.3 weeks per month / 40 hours per week). Thus, his overtime
rate is $17.44 an hour.
Note: An employee
must make at least $2,322 a month to be exempt from the labor