Incentive plan for non-exempt staff possible??

jennifer jo

I work for a non-profit mental health center. We are trying to create an incentive plan for our clinical staff. However, the incentive plan for clinicians will not be approved unless there is an incentive plan for support staff (i.e. secretarial, business office staff, etc.) I am concerned that an incentive plan for non-exempt staff would affect our overtime pay -- in that the incentive monies received would need to be calculated into overtime and could create an on-going payroll nightmare. Does anyone have any thoughts or suggestions regarding this issue?? Thanks.

JDaku

Just came back from a Wage & Hour workshop where this was addressed. In Maine, you do need to add the incentive to the total wages and calculate overtime with the incentive included.

WOCO Frank

It can also depend on how the incentive plan is set up. The manner in which it is paid, the criteria used to determine the amount, etc. can help determine whether the bonus money is included for purposes of overtime.

jennifer jo

Do you know where I can find that type of information?

WOCO Frank

I have a fairly friendly state wage and hour investigator who lives in the next town over. If you don't, then you might call your state's DOL, but I can also understand if you'd rather not put yourself on their radar in any way, shape or form. Barring that, you might be able to find something on their website.

sonny

I didn't jump in earlier, but I am curious, what type incentive plan for clinical folks are you thinking of? Am not sure I understand or like the concept in your field, but would like to learn more.