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Am I entitled to overtime pay?

Overtime pay is a benefit many employees enjoy. However, unpaid overtime can be a stressful situation for many families struggling during a tough economy. Compensation for overtime is clearly stated in the Fair Labor Standards Act. The FLSA set rules and standards for overtime pay including mandating that certain employees must receive overtime pay for hours worked in excess of 40 hours.

The basics of the FLSA.

According to the U.S Department of Labor, the act was enacted for employers who sell goods for interstate commerce. The employers must make over $500,000 in gross profits in a given year. However, the act also covers employees of hospitals, nursing homes, schools, domestic service workers, and federal, state, and local government offices. Employers who do not make the minimum gross profit amount are subject to state and local overtime laws. Employers are obligated to pay regular time plus 50 percent extra for time worked past 40 hours. The act also exempts certain employees from overtime pay including certain supervisors who have the ability to hire and fire workers. Below you will find a few examples of individuals who are not entitled to overtime pay:

  • Executives, administrative, and professional employees, outside sales representatives and certain skilled professionals.
  • Employees of certain small newspapers, seasonal amusement, farm workers and recreational organizations.
  • Employees of fishing operations and seamen on foreign ships.
  • Employees of motion picture theaters, newspaper delivery, news editors, announcers and certain employees of retail and service establishments who work off of commissions.

How not paying overtime can cost an employer more.

There have been cases where hourly employees were forced to work overtime. In a news report from TV station CBS, Wal-Mart forced employees in Oregon to work overtime without pay between 1994 and 1999. Over 400 employees from Oregon stores filed a suit against Wal-Mart citing violated federal and state wage laws. The employees claimed the managers delegated more work than what they could handle in an 8-hour shift. They also claimed Wal-Mart strictly discouraged overtime and erased hours worked from company time records.
According to a news report from Post-gazette.com, the Pittsburgh Postal Service was ordered to pay $75 million in unpaid overtime wages to postal employees working between 1994 and 2004. This settlement was issued to pay full and part time employees who lost their overtime pay. The settlement covered over 1,400 post office employees.
Rasansky Law Firm is dedicated to being an advocate for individuals suffering lost wages from unpaid overtime. If you feel that you or a loved one has experienced a loss of wages, do not hesitate to fill out our free case evaluation form. Our team will gladly review the facts of your situation.

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