What kind of pay is mandated for nonexempt employees who work overtime?

Study for the SHRM US Employment Laws and Regulations Test. Use flashcards and multiple choice questions with hints and explanations. Get exam ready!

The correct answer is overtime pay, which is a specific requirement for nonexempt employees who work beyond the standard 40 hours in a workweek as outlined by the Fair Labor Standards Act (FLSA). Under the FLSA, nonexempt employees must receive compensation at a rate not less than one and one-half times their regular rate of pay for all hours worked over 40 in a single workweek.

This overtime pay ensures that employees who are eligible for overtime are fairly compensated for their extra time worked, acknowledging the additional hours and effort put in beyond the normal working hours. It is a critical aspect of labor laws designed to protect workers' rights and promote fair treatment in the workplace.

The other types of pay, such as base pay, incentive pay, and commission pay, are standard compensation methods that do not specifically relate to the requirement for additional compensation for overtime hours. Base pay refers to the regular pay employees receive for their standard hours worked, incentive pay is linked to performance or productivity, and commission pay is often tied to sales or completed transactions. None of these compensation types fulfill the legal requirement for overtime pay for nonexempt employees working beyond the designated hours.

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