Message-ID: <14944709.1075860483422.JavaMail.evans@thyme> Date: Fri, 9 Jun 2000 03:12:00 -0700 (PDT) From: michelle.cash@enron.com To: knotestine@littler.com Subject: Shift Differentials and Overtime Payment Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: Michelle Cash X-To: knotestine@littler.com X-cc: X-bcc: X-Folder: \Michelle_Cash_Dec2000\Notes Folders\All documents X-Origin: Cash-M X-FileName: mcash.nsf Kerry, What are your thoughts on this issue? Michelle Michelle, We have had a couple of interpretations as to how to calculate the overtime for employees who receive a shift differential and wanted to ask for assistance from you. The problem we are having deals with employees who rotate shift. Please review the following scenario. For a simple example with an ee at $10/hour and shift of $1/hour for the Night (N) shift. M T W Th F S REG 8 8 8 8 8 OT 8 SHIFT N N D D D D Interpretation 1 The shift differential would be added to his pay to determine the regular rate of pay and his pay would be calculated as follows: REG $400 SHIFT 16 OT 124.80 ((400+16)/40) x 1.5) Interpretation 2 Since his overtime was during a day shift, his pay would be calculated as follows: REG $400 SHIFT 16 OT 120.00 (400/40 x 1.5) Can you please let us know which interpretation is correct or if we have totally missed the boat on both of them? Thanks for your help, Diane