Per diem payments aren't wages for overtime purposes.
Position | Legal Briefs |
Do you pay a per diem to employees who work away from home for several days or more? It's a way to repay them for the expenses they incur being away from home for extended periods of time. It's not compensation. That means per diem payments should not be included in the base pay you use to calculate overtime wages.
Recent case: A group of traveling clinicians sued their employer under the Fair Labor Standards Act for underpayment of overtime. They based their claim on what they said was an...
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