Labor Department Updates 50-Year-Old ‘Regular Rate’ Pay Rule

Employers may soon have some clarity on which perks must be included in workers' "regular rate" of pay, which is used to calculate overtime premiums under the Fair Labor Standards Act (FLSA). The U.S. Department of Labor (DOL) recently sent a final rule on this topic to the White House Office of Management and Budget (OMB), according to Politico's Morning Shift. Although the details of the final proposal haven't been made available to the public, an earlier version would exclude the following benefits from the definition of regular rate: Tuition reimbursement benefits. The value of an employee discount. The cost of an employer-provided gym.