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Title 29: Labor
Subtitle B: Regulations Relating to Labor (Continued)
CHAPTER V: WAGE AND HOUR DIVISION, DEPARTMENT OF LABOR
SUBCHAPTER B: STATEMENTS OF GENERAL POLICY OR INTERPRETATION NOT DIRECTLY RELATED TO REGULATIONS
PART 778: OVERTIME COMPENSATION
Subpart D: Special Problems
: Reduction in Workweek Schedule with No Change in Pay
778.324 - Effect on hourly rate employees.
A similar situation is presented where employees have been hired at an hourly rate of pay and have customarily worked a fixed workweek. If the workweek is reduced from 40 to 35 hours without reduction in total pay, the average hourly rate is thereby increased as in ? 778.322. If the reduction in work schedule is accompanied by a new agreement altering the mode of compensation from an hourly rate basis to a fixed salary for a variable workweek up to 40 hours, the results described in ? 778.323 follow.
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