Who Is Exempt from Overtime Pay? | Bantle & Levy

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Who Is Exempt from Overtime Pay?

Many employees work more than 40 hours a week. As many employees have transitioned to remote work and hybrid schedules, working outside of your regularly scheduled hours can be even easier. Whether you’re working extra to get everything done on time or you’re taking on more hours to bring home more pay, most employees will work overtime at some point in their careers. However, working more than 40 hours a week doesn’t automatically mean that an employee is entitled to overtime pay.

As not all employees are required to receive overtime pay, it can be confusing to understand what you’re entitled to. Your employer might say that you aren’t required to be paid for working extra hours, but you need to ensure you understand what you deserve.

What Laws Determine Who Receives Overtime Pay?

The Fair Labor Standards Act (FLSA) and the New York State Labor Law determine who is considered an exempt and non-exempt employee.

The Fair Labor Standards Act

The FLSA is a federal law that requires non-exempt employees to be paid at least one and one-half times their regular rates of pay for hours in excess of their 40-hour workweek.

There are various employees with certain professions who are exempt from receiving overtime pay under the FLSA. A few common examples of exempt employees include:

  • Executive employees
  • Administrative employees
  • Computer professionals
  • Outside salespeople
  • Professional employees
  • Highly-compensated employees

However, it’s important to note that an employee’s job title alone doesn’t make them exempt from receiving overtime pay. Rather, they must perform certain job duties outlined by the FLSA to be considered exempt. Additionally, there is a salary threshold exempt employees must meet. Exempt employees must earn at least $684 per week on a salary basis or on an hourly basis if they make at least $27.63 an hour. Highly-compensated employees are exempt when they receive $107,432 or more in annual compensation.

The New York State Labor Law

Many employees who are exempt under the FLSA are also exempt under the New York State Labor Law. However, there are some positions that are exempt under the FLSA but are entitled to overtime pay under the New York State Labor Law. These positions must be paid a rate of one and one-half times the state minimum wage for their overtime hours.

The salary threshold for exempt employees is also different under the New York State Labor Law. In New York City, as well as Nassau, Suffolk, and Westchester counties, exempt employees must earn at least $1,125.00 per week. Employees in the remainder of the state must earn at least $990.00 per week before they can be considered exempt.

Fight for the Pay Your Deserve with Bantle & Levy

When you put in hours for your employer, you expect to be paid. At Bantle & Levy, we understand that this doesn’t always happen easily. Some employers may try to take advantage of their employees and pay them less than they deserve, such as by failing to pay them overtime. We have experience assisting those with nonpayment of wages cases and can help you get the compensation you worked for.

Contact Bantle & Levy for help protecting your employee rights.

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