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GUIDES

Sharing employees between two stores

Updated 2026-11-12 · By the Assistlify team · AI-assisted, every fact linked to its source below

You can share employees between two stores you own, because the FLSA has no provisions on scheduling adult employees, but the hours at both stores fall in one workweek for overtime. Drive time between the stores during a shift is paid work time, and if the two stores pay different rates, overtime is based on a weighted average of both.

The rules below come from US Department of Labor fact sheets and from city ordinances that cover larger employers. They assume both stores belong to the same employer; if each store is a separate legal entity, get advice on how the hours combine before sharing anyone.

Four rules that apply to every shared employee

RuleWhat it means for two storesSource
Overtime is per 168-hour workweek, no averagingAdd hours from both stores; over 40 earns at least 1.5 times the regular rateDOL Fact Sheet #23
Two rates in one week use a weighted averageRegular rate = total straight-time earnings ÷ total hours at both storesDOL Fact Sheet #23
Job-site-to-job-site travel is work timeA mid-shift drive from Store 1 to Store 2 is paidDOL Fact Sheet #22
No federal notice rule for schedule changesFederal law lets you move hours without notice unless an agreement says otherwise; some cities do notDOL elaws FLSA Advisor

Example: two stores, two rates

Example: Jordan works 30 hours at Store 1 at $15.00 and 14 hours at Store 2 at $18.00, 44 hours in total.

Fact Sheet #23 uses the weighted average for an employee working at two rates in one week; a different method under FLSA section 7(g)(2) is allowed only under specified conditions (29 CFR 778.415–778.421).

Checklist before you move someone to the other store

  1. Confirm the employee is trained for the other store's register, opening and closing steps.
  2. Add both stores' hours for the week and stop at 40 unless you plan to pay overtime.
  3. If the move happens mid-shift, schedule the drive as paid time (Fact Sheet #22).
  4. Do not schedule a close at one store and an open at the other with a short gap if a rest rule applies (see the city table below and clopening shifts).
  5. Have the employee count the cash drawer at each store separately so a shortage is tied to one location; the cash drawer count tool does the arithmetic.
  6. Write the change into the published schedule, not only in a text message, so both store leads see it.

City rules that affect who gets the extra hours

Some city ordinances require covered employers to offer added hours to current staff before hiring, which is close to what sharing staff between stores already does.

PlaceWho is coveredRule on extra hours
Los AngelesRetail businesses with 300+ employees globallyGive current employees 72 hours' written notice of additional hours before hiring, if they are qualified and it would not cause overtime (LA Office of Wage Standards)
San FranciscoFormula retail with 40+ establishments worldwide and 20+ employees in the cityOffer additional work to existing part-time employees (under 35 hours a week) before hiring (SF OLSE FAQ)
Philadelphia250+ employees and 30+ locations worldwideOffer new work hours to existing employees and keep a written policy for distributing them (Philadelphia notice)
New York City (fast food)Chains with 30+ establishments nationallyOffer newly available shifts to current employees before hiring (NYC DCWP FAQ)

For the full scheduling process across stores, see how to schedule staff across multiple locations.

In Assistlify a staff member can be assigned to more than one location, so their shifts at both stores appear on one weekly schedule (multiple locations).

This is general information, not legal advice. Check your state labor department for current rules.

This is general information, not legal advice. Check your state labor department for current rules.

Questions

Do I pay overtime if an employee works 20 hours at each of my two stores?

No. 20 + 20 = 40 hours, and the FLSA requires overtime only for hours over 40 in a workweek (DOL Fact Sheet #23).

Which pay rate do I use for overtime when the two stores pay differently?

The weighted average: total straight-time earnings from both rates divided by total hours worked, per DOL Fact Sheet #23.

Do I have to pay for the drive between my stores?

Yes, when it happens during the workday; DOL Fact Sheet #22 counts travel from job site to job site as hours worked.

Can I move an employee to my other store without notice?

Federal law allows it: the DOL says an employer may change work hours without prior notice unless an agreement says otherwise. Cities with fair workweek laws, such as Los Angeles and Philadelphia, add notice and pay rules for covered employers.

Sources