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9th Cir.: Target should have included shift differential in calculating California employee’s final pay

March 14, 2023

Via: HR Dive

A shift differential is extra pay typically given for working nights or a weekend shift. The Fair Labor Standards Act doesn’t require a shift differential to be paid; rather, it’s something the employer and the employee or their representative may agree upon, according to the U.S. Department of Labor.

Under the FLSA, employees who are not exempt from overtime must receive at least the federal minimum wage of $7.25 per hour for all hours worked, plus time-and-one-half for hours worked in excess of 40 in a workweek. The FLSA requires shift differential to be included in a non-exempt employee’s regular rate of pay when calculating overtime, according to a DOL fact sheet.

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