Though there is no limit to the number of hours an employee covered by FLSA can work, understanding overtime pay may difficult.
Overtime claims may be related to a variety of work circumstances. In certain cases, employers may imply or overtly ask employees to stay later without the expectation of compensation. On the other hand, if you voluntarily continue to work at the end of a shift, whether to finish an assigned task or to correct errors, those hours are considered work time and are compensable.
Regardless of the type of compensation, whether it is salaried, hourly, or based on commission, workers must be compensated. Because of the complexity, workers may not realize they are eligible for overtime pay. It may also be difficult to understand what to do if an employer is not paying an employee properly for their extra hours.
Have you worked more than 40 hours in one work week?
You are entitled by federal law to 1.5 times your regular rate of pay for each hour of overtime worked.
Is your hourly overtime pay rate less than your regular pay rate?
Your employer may be in direct violation of the Fair Labor Standards Act.
Overtime Exemptions
Overtime work may be classified as exempt or non-exempt under FLSA. Employees who are exempt aren’t owed overtime pay, whereas employees who fall into the category of non-exempt are entitled to overtime pay. The factors that confirm exemption include:
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Compensation
- Current amount of compensation
- How compensation is received
- Salaried vs. non-salaried
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Duties
- Primary duty: the principal, main, major or most important duty that the employee performs.
- Classified as executive, administrative, or professional
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Examples of types of employment that would be considered exempt:
- Certain commissioned employees of retail or service establishments
- Auto, truck, trailer, farm implement, boat or aircraft salespersons employed by non-manufacturing establishments primarily engaged in selling these items to ultimate purchasers
- Auto, truck, or farm implement parts clerks and mechanics employed by non-manufacturing establishments primarily engaged in selling these items to ultimate purchasers
- Railroad and air carrier employees, taxi drivers, certain employees of motor carriers, seamen on American vessels, and local delivery employees paid on approved trip rate plans
- Announcers, news editors and chief engineers of certain non-metropolitan broadcasting stations
- Domestic service workers who reside in their employers' residences
- Employees of motion picture theaters
- Farmworkers
Non-exempt employees must be compensated with an overtime pay for the hours worked beyond the standard 40-hour workweek, or beyond 8-hours in a day, at a rate of at least 150% of their normal pay rate.
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Deadlines & Limitations
There are strict time limits to any unpaid overtime claim, so it’s important to file within two to three years if you want to be reimbursed. Some states allow extended claim filing deadlines, including:
- California: 4-year extended deadline.
- Kentucky: 5-year extended deadline.
- Hawaii: 6-year extended deadline.
- New York: 6-year extended deadline.
