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Must all hours count toward OT ‘total hours’?

by on
in Compensation and Benefits,Human Resources

Q. We currently pay employees for time spent driving from the office to work sites. We pay minimum wage for that driving time, but we don’t count those hours toward “total hours” worked for the week. That keeps overtime down because their hours aren’t accumulating until they arrive at the job site. Is this OK? — J.F., Florida

A. Definitely count the hours. Fair Labor Standards Act regulations—and court decisions applying those regulations—under these circumstances require you to consider the driving time as “hours worked” for overtime purposes, even if you pay a lower rate for the travel time.

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