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CFR  

Code of Federal Regulations Pertaining to ESA

Title 29  

Labor

 

Chapter V  

Wage and Hour Division, Department of Labor

 

 

Part 779  

The Fair Labor Standards Act As Applied to Retailers of Goods or Services

 

 

 

Subpart E  

Provisions Relating to Certain Employees of Retail or Service Establishments


29 CFR 779.410 - Statutory provision.

  • Section Number: 779.410
  • Section Name: Statutory provision.

    Section 7 of the Act provides, in subsection (i):

    (i) No employer shall be deemed to have violated subsection (a) by 
employing any employee of a retail or service establishment for a 
workweek in excess of the applicable workweek specified therein, if (1) 
the regular rate of pay of such employee is in excess of one and one-
half times the minimum hourly rate applicable to him under section 6, 
and (2) more than half his compensation for a representative period (not 
less than 1 month) represents commissions on goods or services. In 
determining the proportion of compensation representing commissions, all 
earnings resulting from the application of a bona fide commission rate 
shall be deemed commissions on goods or services without regard to 
whether the computed commissions exceed the draw or guarantee.


There are briefly set forth in Secs. 779.411 to 779.421 some guiding 
principles for determining whether an employee's employment and 
compensation meet the conditions set forth in section 7(i).
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