Sullivan v. Sleepy's LLC
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In this case concerning whether retail salespeople who are paid entirely in commissions or draws are entitled to additional overtime or Sunday pay, the Supreme Judicial Court held that such employees are entitled to overtime or Sunday pay with separate and additional payments of one and one-half times the minimum wage for every hour the employees worked over forty hours or on Sunday.
At issue before the Court was whether the defendant employers in this case satisfied their obligations under the overtime statute, Mass. Gen. Laws ch. 151, 1A, and the Sunday pay statute, Mass. Gen. Laws ch. 136, 6, when they paid draws or commissions that equaled or exceeded the minimum wage for the plaintiff employees' first forty hours of work and one and one-half times the minimum wage for all hours worked over forty hours or on Sunday. The Supreme Judicial Court held that draws and commissions cannot be allocated retroactively as hourly and overtime wages and Sunday pay even where the draws and commissions equal or exceed the minimum wage for the employees' first forty hours of work and one and one-half times the minimum wage for all hours worked over forty hours or on Sunday.
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