
Under the Fair Labor Standards Act (“FLSA”), overtime compensation generally must be paid to covered employees (employees who do not qualify for an FLSA exemption) at a rate of at least one and one-half times their regular rate of pay for each hour worked in excess of 40 hours per workweek. Some states have additional state-specific overtime laws. In addition, a covered employee’s regular rate of pay must be equal to or greater than the federal minimum wage. In most circumstances, overtime pay earned in a particular workweek must be paid on the regular pay day for the pay period in which the overtime wages were earned.
Based on your employer's discretion, your workweek may begin on any day of the week and at any hour of the day. However, your workweek must be a fixed and regularly recurring period of seven consecutive 24-hour periods. Therefore, your employer cannot average your hours worked over two or more weeks to determine you hours worked per workweek.
In addition, under the FLSA, your employer is supposed to maintain records of the time you spend performing compensable work activities. If you bring an overtime claim against your employer, but your employer has failed to maintain the required records, you are entitled to recover overtime compensation based on a good faith (reasonable and realistic) estimate of the time you worked over the past 2 to 3 years for your employer.
A. Employees Paid by the Hour
If you are paid by the hour, your employer must pay you at least one and one-half times your regular hourly rate for each hour worked over forty hours per workweek.
B. Employees Paid on a Piecework Basis
If you are paid on a piecework basis, your regular rate of pay is obtained by dividing your total weekly earnings by the total number of hours you work in a particular workweek. You are entitled to an additional one-half times your regular rate of pay for each hour you work over forty hours per workweek, plus full piecework earnings.
C. Employees Paid a Salary for a Regular or Specified Number of Hours
If you are paid a salary for a regular or specified number of hours per workweek, your regular rate of pay is obtained by dividing your salary by the number of hours your salary is intended to compensate. You are entitled to an additional one-half times your regular rate of pay for each hour you work over 40 per workweek, plus your salary.
D. Employees Paid a Salary on Other than on a Weekly Basis
If you are paid a salary on other than on a weekly basis, your weekly pay must be determined in order to compute your regular rate of overtime pay. If your salary is intended to cover a half-month, it must be multiplied by 24 and the product divided by 52. If your salary is intended to cover an entire month, it must be multiplied by 12 and the product divided by 52.
E. Weekend and Holiday Work
Under the FLSA, you are not entitled to an overtime premium solely because you perform work on a weekend or holiday.
F. Overtime Pay May Not be Waived
The FLSA’s overtime requirement cannot be waived by agreement between you and your employer. In addition, an announcement by your employer that no overtime work will be permitted, or that overtime work will not be paid unless it is authorized in advance, will not impair your right to compensation for compensable overtime hours worked.
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