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FOH Field Operations Handbook
Chapter
64 Employment of Workers with Disabilities at Special Minimum Wages
under Section 14(c)
Section 64j Establishing Objective Standards for Hourly Pay Rates
- Regulations 29 CFR Part 525.12(j)(3), which provides instructions for calculating
hourly rates, states that evaluations of workers paid on an hourly basis should not be conducted if the worker is "fatigued or
subject to conditions that result in less than normal productivity." No PF&D allowance is required when setting commensurate hourly rates because
hourly workers must be paid for the short breaks and downtime which would be accounted for by such an allowance. The use of a PF&D allowance is
required by Regulations 29 CFR Part 525.12(h)(2)(ii) only when calculating piece rates.
- WH finds time studies acceptable when the worker is observed and rated under a simulation of actual work conditions, the worker is rested and not fatigued, the worker has taken care of personal needs, and when there are no undue disruptions, delays, or interference.
- However, in light of Regulations 29 CFR Part 525.12(j)(3), the employer may choose
to include a PF&D allowance if the worker cannot be evaluated under the conditions just described or because the employer wishes to pay workers with disabilities wages that exceed the applicable commensurate wage rate.
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