There are several times when this question is asked by employees that will they be paid for the overtime hours? Your overtime hours are usually paid in the half premium than the salary. It also depends upon the contract you’ve had with the company you are working in. The terms you have signed in the contract and the company policy also affects this premium. Though, people should be paid at least the minimum national wages for the extra hours you are required to work. However, it will be followed according to whatever your document says. It is often negotiated with the employees' and employer. In most cases, collective bargaining governs the payment of overtime and anti-social hours.
This is not a new question that how much should be paid by the employer according to the hours of work you are investing. Although, it largely also depends on the type of employee you are and what state and federal law your workplace is covered by. There have been some cases in which people are not paid for the overtime. Therefore, not every employee earns from overtime. Also, it depends on the hours you have invested in the overtime. If the company needs, some employees are paid more than the normal wages for the overtime hours. The limits and heath strain also plays a big part in this. You must be paid according to the hours, indeed. The least an employer can do is acknowledge your potential and pay accordingly. Sadly, overtime has become a lot usual for the employees at the current time. Longer working hours, working weekend and work from home has made overtime a lot normal than before. It leads to people missing out on their relaxing and leisure time because of work.
Currently, there is neither a legal entitlement for the extra working anti-social hours nor a starting formula establishing how much should be paid on certain extra working hours after usual hours. If you are not satisfied with the pay, you are getting for the overtime than probably make a union and talk to the management regarding this.
Which Employers Have To Pay For Overtime
Though there are the majority of employers who have to pay for the overtime of their employees, not everyone does. In order to know whether your employer has to pay for the overtime, first, figure out if your company covered by FLSA (Federal Fair Labor Standards Act) or not. The federal law always establishes the working hours and wages of for the overtime hours. All the rules for the overtime are fixed under FLSA covered workplace. Generally, a workplace is covered by Federal Fair Labor Standards act when its annual sales are $500,000 or more. However, if your employer is smaller and still covered by FLSA, they must pay the extra time wages. If your workplace is engaged in the “interstate commerce” (if it conducts business between different state) then also your employer needs to pay the overtime wages. Interstate commerce cover so much more than you think.
However, if your company conduct business in just the local state, then it must be covered by your state’s overtime law. It might not be covered by FLSA, but the state overtime law also has some definite rules for the extra hours. You can get in touch with the state labor department for the in-depth details.
Which Employees Are Legally Entitled To Earn For Overtime
If your employer is covered by FLSA, it must pay the entitled employees from FLSA for the extra working hours. There are some categories made by FLSA in order to entitle the eligible employees who have to be paid for their overtime. Even if your employer is not covered by FLSA and by the state’s overtime rules, then there might be some changes in the eligibility of the employees. Below is the list of the employees which fall under the category of being “exempted” from the federal overtime law which means you are not entitled to get paid for the extra hours:
#1. Individual Contractors
#2. Volunteers
#3. Administrative, executive and professional employees. These employees are paid on the basis of salary.
#4. The employees who regularly and customarily work away from the business of the employer are called outside salespeople. They take orders or sell goods and provide services.
#5. Employees of recreational business or seasonal amusement. For example country fairs or as ski resorts
#6. Some computer specialist like software engineers, system analysts, and programmers, etc. They usually earn more than $27 per hour.
#7. Employees from certain local or small newspaper
#8. Delivers of newspaper
#9. The employees from camps which are organized or nonprofit educational conferences or religious conferences centers that work for approximately seven months or less in a year.
#10. Employees or workers who are engaged in fishing operations
#11. Seamen
#12. Specific switchboard operators
#13. Employees or workers who work on farms, especially small farms.
#14. Criminal Investigator
#15. Domestic babysitters or people who give companionship to those who don’t have time for themselves (the exception, in this case, does not apply to the people engaged in nursing care, home or personal care aids who do different domestic service).
Salary Basis
If you earn at least $455 per week and you are paid on the basis of salary, then you will get the same salary every week. Even if you invest more hours in your work, you will be paid the same regardless of how many hours you have worked or what was the quality or quantity of your work. A worker from salary basis may get paid less because of the leaves he/she has taken.
There are several rules which are established according to different law firms. State law has different rules, whereas union law has different rules. Let us see how the rules for different employees are established.
State Laws
State law might provide double pay for the overtime employees. For example, in California, there is a rule of paying double to those who do overtime. As if the normal work wages per hour for a person is 10.25$, the overtime wages for that person will be $20.50. This rule is followed by many of the State Law for the labors.
Overtime At Night, Holidays or Weekends
As far as the policy of FLSA is concerned, it does not require payment for the overtime at night, holidays or weekends. It does not have any overtime payment until and unless the overtime working hours are more than 40 hours threshold. However, many employers and companies have different overtime policies according to the evening, night, weekend or holiday overtime but that is purely on the basis of volunteers.
In order to calculate how much you have earned, or are you eligible to earn for the overtime hours, you can use a calculator specifically used for calculating earnings from the overtime hours. United States Department of Labor has designed a calculator which will tell you the exact amount of money you have earned with working extra.
These were all the pros and cons of working overtime in your office. You can judge whether it is good for you or not according to your company and your job profile. We hope this article could help you in choosing the right for you. Share your views about this in the comment section below.
(Featured Image Courtesy: Office Guide)
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