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Many Lowes employees are paid on a "variable overtime" system (sometimes called "Chinese overtime", a term with offensive racial overtones that has no legal meaning) whereby they receive a weekly "base salary" for all hours worked. In addition to this weekly "base salary" they are paid overtime for hours in excess of 40 hours a week at one-half of their "variable" hourly rate (the hourly rate being their weekly "base salary" divided by the total hours worked each week). This system results in an employee's hourly overtime rate decreasing if she works more hours in a week. While this overtime pay system may be proper in theory several issues have arisen as to whether this system is being properly applied by Lowes. Perhaps the most troubling issue is how Lowes figures an employee's "base salary." The weekly "base salary" upon which Lowes is calculating the "overtime rate" may not properly include ALL bonuses or commissions which many, or perhaps most, Lowes employees receive on a regular basis. A failure by Lowes to do this might constitute a violation of Federal Law (ALL compensation paid to the employee, whether "base salary" or "bonus compensation" or "commissions" must typically be included in calculating the proper overtime rate). The Law Office of Leon Greenberg is NOT pursuing litigation against Lowes at this time. Please DO NOT contact this office if you are interested in exploring this matter further. You should instead contact attorney Michael Brady at 913-696-0925 who IS PURSUING LITIGATION AGAINST LOWES over this issue.
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