An Administrator's Guide to California Private School Law

Chapter 6 – Wage And Hour Laws

b. Weighted Average Method Where two rates of pay are paid during a workweek, the California method for determining the regular rate of pay for calculating overtime in that workweek is based upon the weighted average of all hourly rates paid. 727 In order to use this method, there must be established hourly rates. Assuming no other forms of compensation are paid, the regular rate is then calculated by adding all hours worked in the week and dividing that number into the total compensation for the week. For example, a teaching assistant works for 8 hours during the day at $15.00 per hour and works after school teaching a music class for 2 hours per day at $25.00 per hour. If the teaching assistant works 5 days in a week, her regular rate is:

 40 hours x $15.00 = $600.00  10 hours x $25.00 = $250.00  Total compensation is $850 for 50 hours worked

 $850/50 = $17 is her regular rate of pay based on a weighted average  She worked 10 hours of overtime in that week (10 hours worked over 40 hour overtime threshold), and she is entitled to an additional ½ of her regular rate of pay for overtime worked = ($17 x 1/2) x 10 = $8.50 x 10 = $85  Her total compensation for the week is $850 regular wages and $85 overtime premium for a total of $935.

Section 8 D EDUCTIONS F ROM W AGES Schools may only make deductions from wages in narrowly defined situations and should exercise caution in making deductions. A. L EGAL D EDUCTIONS Labor Code section 224 authorizes deductions for the following:  Deductions required of the school by federal or state law, such as income taxes or garnishments.

 Deductions expressly authorized in writing by the employee to cover insurance premiums, hospital or medical dues or other deductions not amounting to a rebate or deduction from the wage paid to the employee.  Deductions authorized by a collective bargaining or wage agreement, specifically to cover health and welfare or pension payments.

Also, under the federal Pension Protection Act of 2006 (PPA) 728 schools may automatically enroll employees in a defined contribution plan, e.g. 401(k), 403(b), 457 plans, under an

An Administrator’s Guide to California Private School Law ©2019 Liebert Cassidy Whitmore 192