by Stephen D. Hans | Mar 25, 2024 | Overtime Disputes
The Arguments Employers Can Make to Refute Wage and Hour Claims As an employer, you work hard to maintain a positive and harmonious work environment. Nonetheless, it’s not unusual to face allegations of federal labor or employment laws. One of the most common involved an employee’s right to overtime pay. When Is Overtime Pay Required? Under the Fair Labor Standards Act (FLSA), eligible workers have the right to additional compensation for extra hours worked. To qualify for overtime under federal law, you must be a non-exempt employee and you must have worked more than 40 hours during a given pay period or work week. According, the primary defenses to a federal overtime claim are that the worker was exempt or that the worker did not exceed 40 hours within the applicable time frame. What Types of Employees Are Exempt from Overtime under Federal Law? The Fair Labor Standards Act identifies a number of situations where a worker may not qualify for overtime benefits: The employee is paid on a commission basis—The worker must receive more than half of his or her income from commissions and must average at least one and a half times the minimum wage for every hour worked Executive, professional, administrative and outside sales employees who are paid a salary Certain employees of automobile dealerships, including salespersons, mechanics and parts workers Seasonal workers and employees of recreational businesses Farmworkers on small farms Computer professionals whose income exceeds $27.63 per hour Drivers, loaders, mechanics and helpers for motor carriers, provided the worker is engaged in activities that involve the safety of transportation of people or property in...
