Does sharing employees equal sharing overtime liability ...

Question: A client has two stores that are separate franchises. Both stores share employees, including the store manager. How can we calculate overtime when an employee works at both stores, and how do we allocate those hours between the stores?

Answer: If the two stores are one enterprise, then employees? hours are combined. It doesn?t matter which business pays the overtime, and allocations aren?t necessary. However, if each store is a separate business, that business will be liable for the overtime payment and the records required to show the employee?s working time.

Regardless of how the two businesses are organized, employees who travel between the sites during working hours must be paid for their travel time.

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