Section 408.701. Definitions.

Rule 1. As used in these rules:

(a)   "Act" means the workforce opportunity wage act, 2014 PA 138, MCL 408.411 to 408.424.

(b)   "Administrative capacity" means an employee who is compensated on a salary basis at not less than $250.00 per week and whose primary duty is nonmanual work directly related to the administration of an educational institution.

(c)   "Commission" means all earnings of an employee, in addition to the hourly rate of pay, which the employee has been led to expect on a regular basis as a result of an employment contract, agreement, or promise.

(d)  "Compensatory time" means paid time off earned at 1½ times the regular hours worked in excess of 40 hours in a week and paid at some future time.

(e)      "Executive  capacity"  means  an   employee  to  whom  all  of   the  following provisions apply:

(i)   Compensation is on a salary basis at not less than $250.00 per week.

(ii)   The employee's primary duty is management.

(iii)   The employee supervises 2 or more employees.

(f)  "Fee" means a fixed amount for a service provided or job completed regardless of time required for completion.

(g)    "Paid time off " means compensation for time off paid to the employee for vacation, personal time, or sick time.

(h)   "Professional employee" means an employee who is compensated on

a salary basis at no less than $250.00 per week and whose primary duty is any of the following:

(i)   Work in a field of science or learning that requires knowledge acquired by a prolonged course of specialized instruction.

(ii)    Work in a recognized field of artistic endeavor that depends upon the talent of the employee.

(iii)   Work in an educational institution as a teacher, tutor, instructor, or lecturer.

(i)    "Salary" means payment of a fixed amount not subject to reduction because of variations in the quantity or quality of work performed.

(j)    "Workweek," as applied to an employee, means a fixed and regular recurring period of 168 hours or 7 consecutive 24-hour periods. Workweek need not coincide with the calendar week, but may begin on any day and at any hour of the day. For purposes of computing overtime pay, a single workweek may be established for 1 employee or different workweeks may be established for different employees or groups of employees.

History: 1954 AC; 1979 AC; 1998-2000; 2016 MR 17, Eff. Sept. 13, 2016.