News and Information

July 1, 2020 • News

USDOL Wage and Hour Opinion Letter Regarding Car Dealership Employees’ Wages

On June 25, the U.S. Department of Labor issued five new opinion letters addressing compliance issues related to the Fair Labor Standards Act (FLSA), including FLSA2020-7, which says that an automobile manufacturer’s incentive payments paid directly to an automobile dealership’s employee, compensating the employee for work done on behalf of the dealership, may count toward the dealership’s minimum wage obligation to the employee. For details, see the opinion letter FLSA2020-7.

For more information on the other newly issued opinion letters, see the USDOL press release. USDOL opinion letters provide employers with official written opinions of how a particular law applies to a specific set of facts presented by the requesting entity. Consult your attorney regarding the application of Hawaii state law to similar situations.

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