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Unpaid Overtime
United States federal law generally requires employees who work more than 40 hours per week be paid overtime pay. Overtime pay is calculated at the regular hourly rate of pay plus an additional 50 percent of that regular rate. Just because an employee is paid a weekly, bi-weekly and/or monthly salary does not necessarily mean the employee is not entitled to overtime pay. Also, some states have wage and hour requirements for employers different from federal law.
| Unpaid Overtime: Personal Stories and Interviews |
Overtime: Between a Rock and a Hard Place
 "There are a lot of things going on with Walgreens that aren't right, especially overtime issues," says pharmacist Donna S. (not her real name for fear of retaliation). She has worked at the huge pharmacy chain for 20 years and estimates she is owed close to $250,000 in overtime pay!
[ MORE: OVERTIME HARD PLACE]
Double Whammy: Overtime without Pay leads to Termination
Henry Adams worked as a program manager in the IT department at Kaiser Permanente. "When I was hired by Kaiser three years ago, I was told that my salary was to be based on a 40-hour week," says Adams. But just one year later, he was often working an average of 16 hours a day, until he got his walking papers. Adams didn't get any overtime pay--Kaiser knows how to save money. And they chose to ignore overtime laws.
[ MORE: OVERTIME WITHOUT PAY]
Overtime Retail Workers: "I'm Christmas-ed Out"
 Retail chain Michael's Inc. requires their salaried store managers to work 50 hours per week but Kay and many others in management spend at least 80 percent of their time completing tasks outside of managing—such as stocking shelves and even cleaning bathrooms—up to 60 hours per week, with no overtime. "We got so Christmased-out that we didn't care about the holidays --it sucks the Christmas spirit out of you," she says.
[ MORE: RETAIL OVERTIME]
Overtime: Another Tactic that Won't Hold in Court
Marcel C. was happy with his job at a large communications company until a new manager was hired. "He hasn't paid us overtime that we are entitled to, even though we submit overtime on our timesheets," says Marcel.
[ MORE: OVERTIME TACTICS]
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| You may be Entitled to Overtime Pay |
To be ineligible for overtime, an employee must be in an exempt classification. Exempt classifications apply to executive, administrative, or professional employees. To qualify for an exemption from overtime pay requirements under these categories, the employee must generally pass a two-pronged test consisting of:
- a salary basis test, and
- a duties test.
 Generally, a salary test is met if the employee is paid a fixed amount of money weekly, bi-weekly and/or monthly, and there is no deduction from this fixed rate based on the quantity or quality of the work.
A duties test is different for executive, administrative and professional employees.
The duties test is met by the actual work being done as opposed to "job titles" or written "job descriptions."
To Be Exempt as an Executive Employee, a Person Must:
- customarily and regularly direct the work of two or more other full-time employees;
- have management as his/her "primary duty;"
- have the authority to hire and fire, or effectively to recommend such action or other changes in status;
- customarily and regularly exercise discretionary powers;
- spend no more than 20% of his/her hours in the workweek in activities not directly and closely related to the above duties, or 40% in a retail or service establishment.
- be paid "on a salary basis."
To Be Exempt as an Administrative Employee, a Person Must:
- have as his/her "primary duty;"
- office or nonmanual work directly related to management policies or general business operations; or
- performing work in educational administration, which work is directly related to academic instruction or training
- customarily and regularly exercise discretion and independent judgment;
- (i) regularly and directly assist a bona fide executive or administrative employees; or
(ii) perform under only general supervision work that is specialized or technical and that requires special training, experience, or knowledge; or
(iii) perform special assignments or tasks under only general supervision;
- spend no more than 20% of his/her hours in the workweek in activities not directly and closely related to the above duties, or 40% in a retail or service establishment; and
- be paid "on a salary basis."
To Be Exempt from overtime pay as a Professional Employee, a Person Must:
- have as his/her primary duty work which requires:
- advanced knowledge customarily requiring extensive education; or
- originality and creativity in a recognized artistic field; or
- teaching or otherwise imparting knowledge as a teacher in a school or in an academic or educational institution; or
- theoretical and practical application of highly specialized knowledge in computer systems analysis, programming, and software engineering in a computer/software occupation;
- consistently exercise discretion and judgment;
- perform work which is predominantly intellectual and varied, and which cannot be standardized in relation to a given period of time.
- spend no more than 20% of his/her hours in the week in activities not essential and necessarily incidental to the above duties; and
- be paid on "a salary basis."
Off Clock Work
If you are a non-exempt employee (generally an hourly employee), and you are required to work "off the clock," you may be entitled to overtime compensation. Some examples of working "off the clock" are the following, but there are many, many more examples:
- Manager requires you to complete a task before leaving work but complains it is taking too long and requires you clock out while requiring you to complete that task before leaving.
- Uniforms are required and changed at work before a person clocks in and changed after a person clocks out.
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| More about Unpaid Overtime |
Former Speedway SuperAmerica Employees File Suit
 Two former hourly employees of the Speedway SuperAmerica stores, one of whom worked at the Twin Cities, Minnesota location, allege that they were not paid overtime for the extra hours that they worked. These allegations also state that the company had knowledge of this unpaid overtime.
[ MORE: UNPAID EMPLOYEE]
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| Unpaid Overtime Press Releases |
MAY-08-08: The town board of Tonawanda, New York decided on May 5, 2008 to settle a labor lawsuit for $625,000. The labor lawsuit had been filed by 120 of the town's former and current police officers, who alleged the city didn't pay them for overtime between the years of 2003 and 2005.
[ MORE: OVERTIME SETTLEMENT]
MAR-26-08: A lawsuit has been filed against the city of Forks by a former police officer alleging that he was not paid for overtime that he worked. The amount of overtime pay that he is seeking is unspecified.
[ MORE: POLICE OVERTIME]
 MAR-18-08: Police officers, city marshals, and firefighters for Lafayette filed a lawsuit against the city for back pay owed in the form of unpaid wages. However, the hearing for the ongoing lawsuit has been postponed since there are questions regarding the amount in which the employees are owed. This has come after months of multiple settlement offers resulting from the eight-year-old lawsuit's contention with an old pay plan.
[ MORE: BACK PAY HEARING]
 DEC-14-07: It's almost never too late in New York State to claim for [unpaid overtime], a contentious workplace issue that is haunting employers both large and small. If you think you have been unfairly denied overtime pay, you have up to six years to launch a claim. And, if you're successful, you can collect money owing—and penalties—for periods going back six years.
[ MORE: UNPAID OVERTIME]
 AUG-29-07: In their rush to increase profits, CEOs often agree to "downsizing," "smartcizing" and other measures designed to squeeze as much labor out of their workforce as humanly possible, at the lowest cost. Too often, this involves denying workers overtime pay.
[ MORE: OVERTIME DENIED]
 JUN-15-07: The latest efforts by Wal-Mart Stores to block unpaid overtime class-actions by workers in Missouri and New Mexico were rejected June 12 by the appeals courts in both those states. The decisions have left Wal-Mart, the world's largest corporate retailer, "disappointed", according to a company spokesman.
[ MORE: OVERTIME CLASS ACTIONS]
JUN-06-07: In a move that is sending shockwaves throughout Corporate Canada, a diminutive bank teller from Toronto took a day off from her job and launched a $600 million class action lawsuit against her employer. It also sends a message to the banking sector everywhere--including the U.S.-- that bankers should abide by labor laws and fair play when it comes to overtime pay.
[ MORE: CIBC OVERTIME]
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| Unpaid Overtime In the News |
MAY-6-08: A settlement of $625,000 has been agreed to in a labor lawsuit filed by 120 police officers in a New York town who alleged they had been cheated out of overtime between 2003 and 2005. [ BUFFALO NEWS: OVERTIME]
JAN-15-08: Casey’s General Stores faces another class action lawsuit that alleges workers were denied overtime pay. A different lawsuit was filed last May regarding Casey’s alleged failure to pay for overtime. [ REGISTER: OVERTIME]
DEC-21-07: A class-action lawsuit against Wal-Mart alleges the company routinely failed to pay workers for overtime, and prevented workers from taking their meal and rest breaks. Wal-Mart recently lost two similar cases in California and Pennsylvania. [ TOWN PAGES: OVERTIME]
DEC-18-07: Two former Dell sales representatives have filed a lawsuit against the company alleging they were not properly paid for all their overtime hours. The class size could potentially involve over one thousand people. [ JOURNAL RECORD: OVERTIME]
OCT-22-07: A putative collective action and class action overtime lawsuit has been filed by assistant managers at Fastenal Company. The suit alleges that Fastenal misclassified its assistant managers as exempt from the FLSA and the corresponding state wage and hour laws. [ EARTH TIMES: OVERTIME]
OCT-15-07: Two former produce workers are suing Fresh Del Monte Produce in Oregon for unpaid overtime and backpay. [ KATU: OVERTIME LAWSUIT]
OCT-11-07: Staples Inc. is being sued by a current employee of their headquarters office. The product specialist claims her employer has neglected to pay her and similarly situated coworkers overtime wages. [ DAILY NEWS: OVERTIME LAWSUIT]
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Unpaid Overtime Legal Help
If you are owed unpaid overtime, you may qualify for damages or remedies that may be awarded in a possible class action lawsuit. Please click the link below to submit your complaint to a lawyer who will review your claim at no cost or obligation.
Posted on Jan-6-06
Updated on May-8-08
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