DOL Releases Opinion Letters On Regular Rate Of Pay

Volume: 19 | Issue: 17
April 8, 2020
On March 26, 2020, the Department of Labor’s Wage and Hour Division (WHD) issued three new opinion letters providing “further clarity on the department’s recently announced Final Rule on FLSA regular rate requirements, which allows employers to more easily offer perks and benefits to their employees.”
  • FLSA2020-3: Addressing excludability of longevity payments from the regular rate of pay.
  • FLSA2020-4: Addressing excludability of referral bonuses from the regular rate of pay.
  • FLSA2020-5: Addressing excludability of an employer’s contributions to a group-term life insurance policy from the regular rate of pay.
An opinion letter is an official, written opinion by the WHD on how a particular law applies in specific circumstances presented by the individual person or entity requesting the letter. It is the administrative agency’s opinion on how the law should be applied which may be given deference by the courts. If you have questions about these opinion letters, please contact a KZA attorney.

KZA Employer Report articles are for general information only; they are not intended and should not be construed to be legal advice. Reading or replying to such articles does not establish an attorney-client relationship. In addition, because the subject matters and applicable laws discussed in Employer Report articles are often in a state of change and not always applicable to every type of business entity or organization, readers should consult with counsel before making decisions based on the same.

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