Overtime Disputes
At Ryan Employment Law, we understand the complexities surrounding overtime disputes and the importance of fair compensation for all employees.
Overtime pay is a crucial aspect of employment law, ensuring that employees are compensated appropriately for the hours they work beyond the standard workweek. Employers are required to pay employees 1.5 times their typical hourly wage for each hour worked beyond the standard forty hour work week.
A salaried employee might be exempt from overtime pay if the employee makes more than $844 a week and $1,,128 a week starting on January1, 2025. If not, the employee’s regular hourly rate is the employee’s salary for one week divided by forty. A highly compensated employee is also exempt from overtime if he earns at least $132,964, and the highly compensated employee’s primary duties are non-manual or office work.
The largest group of exempt employees are executive, administrative, and professional employees, which are exempt from minimum wage and overtime regulations.
Overtime Disputes
For overtime worked by the employee, the employer must pay the employee 1 ½ times the employee’s regular salary for every hour worked over 40 hours in one week. If the employee makes thirty dollars an hour, the employer must pay the employee forty-five dollars for every hour worked in a week.
In private employment, employers must pay overtime with money. In public employment, employers can sometimes pay the employee’s compensable time rather than overtime pay. Compensable time is merely activities and work that count as working hours.
The Fair Labor Standards Act (“FLSA”) excludes traveling to and from work as working time. Some work-related chores might be considered working time that requires the employer to pay the employee, like preparing a job site or putting on protective equipment necessary for the job. Rest breaks of twenty minutes or less must also be paid.
If an employee works for seven consecutive days, on the seventh day, the employee is owed overtime.
Independent Contractor Misclassification
Employers too often label their employees as independent contractors. Employers label employees as independent contractors to avoid taxes, benefits, or wages.
An employer might even have its employee sign a contract to label the employee as an independent contractor, but the employer does not make that decision; the employment relationship does.
Employees are entitled to overtime and minimum wage pay.
Need Help with an Overtime Dispute?
Contact Ryan Employment Law for a free consultation to discuss your overtime pay concerns and explore your legal options.