(a) No certificate will be issued pursuant to Sec. 530.101 of
subpart B to an employer who pays homeworkers based on piece rates
unless the employer establishes the piece rates for the different types
of items produced using stop watch time studies or other work
measurement methods. Documentation of the work measurements used to
establish the piece rates, and the circumstances under which such
measurements were conducted shall be retained for three years and made
available on request to the Wage and Hour Division.
(b) The fact that an employer bases piece rates on work measurements
which indicate that the homeworkers would receive at least the minimum
wage at such piece rate(s) does not relieve the employer from the Act's
requirement that each homeworker actually receive not less than the
minimum wage for all hours worked.