Salaried Employees May Still Be Entitled to Overtime

It’s a common misconception that salaried employees are not entitled to overtime compensation.  Under the Fair Labor Standards Act (FLSA), however, most workers are eligible for time-and-a-half pay for any hours worked over 40 in a single workweek. If you are a salaried employee and suspect you have been wrongfully denied overtime, an overtime lawyer can evaluate your claim to determine if you have legal recourse. 

Workers who make less than $455 per week or $23,600 per year are typically eligible for overtime pay – even if they are paid on a salary basis. To be ineligible to collect overtime pay, salaried employees must earn more than $23,600 per year and perform job duties of an “exempt employee,” and cannot be denied overtime pay based solely on the manner in which they are compensated.  

Exempt employees typically fall into one of three categories – executive, administrative or learned/creative professional - though some computer professionals and commissioned salespeople may also be exempt. To be exempt from overtime pay, an employee must fully meet the requirements of the exemption. For instance, an employee is exempt from overtime pay under the executive exemption if he or she earns a salary of $23,600 or more per year; supervises two or more employees; manages the business, subdivision or department; and has the ability to hire and fire other employees. Those meeting the administrative exemption must meet the same salary requirement and perform office or non-manual work directly related to the business or management and use independent judgment in significant matters. Employees falling under the creative professional exemption include actors, musicians and the like, while the learned professional exemption typically applies to dentists, doctors, lawyers, registered nurses, teachers, engineers and pharmacists.  

If you are a salaried employee who works 40 or more hours per week and does not fall into any of the exempt categories, contact an overtime attorney to see if you are eligible for an unpaid overtime lawsuit. You be able to file a claim to collect up to two years of unpaid overtime wages, or three years if your employer’s violations were willful. Fill out the free consultation form on the right to find out if you are eligible.