On Jan. 5, 2026, the U.S. Department of Labor (DOL) issued Opinion Letter FLSA 2026-4, addressing the following:
- Whether, in a jurisdiction where the state minimum wage exceeds the federal minimum wage, an employer must use the federal minimum to determine if it has satisfied the minimum pay standard in Section 7(i)(1) of the Fair Labor Standards Act (FLSA); and
- Whether tips must be considered compensation when determining if more than half of an employee’s earnings come from commissions, as required by Section7(i)(2).
Click the following link to read: DOL Clarifies Applicable Minimum Wage and Tip Compensation for Exempt Commissioned Employees.
