April 08, 2026
Bonus Bites Back (Again!) – DOL Finds Employer Violated FLSA
On April 8th the U.S. Department of Labor announced it recovered $122,476 in back wages for 140 workers following an investigation that found an employer failed to pay workers their full wages, in violation of the Fair Labor Standards Act (FLSA). How?
The employer did not include non-discretionary bonuses when calculating overtime wages for non-exempt workers. This happens time and time again. Good intentions can go awry.
The FLSA recognizes two types of bonuses: discretionary and non-discretionary. The latter must be included in a non-exempt employee’s regular rate of pay for overtime calculations. How?
For more information, check out FiveL’s upcoming webcast, “To Pay or Not to Pay (When and How)” on Wednesday, April 22nd from Noon – 1:15 ET.
