Are Salaried Employees Entitled To Overtime Pay?
Many people are under the false impression that all hourly employees are eligible for overtime pay, and all salaried employees are not. But state and federal employment laws are more complex than that.
At Katz Melinger PLLC, we help our clients understand how the law applies in their particular case. If you have questions about whether you qualify for overtime pay, we invite you to call our New York City office at 212-256-9425.
Salaried Employees And Overtime Pay
Employees in New York are protected by both state and federal law.
Nonexempt employees are those who are eligible for overtime pay when they work more than 40 hours per week. Exempt employees are those who are not eligible for overtime pay, regardless of how many hours they work.
However, whether an employee is exempt or nonexempt can be a complex issue. Many either intentionally or unintentionally misclassify their employees, illegally depriving them of overtime pay.
Executives, learned professionals, outside salespeople, and certain other employees may be considered exempt and ineligible for overtime pay. However, an employee’s job title does not determine their eligibility for overtime. There are numerous factors relating to the employee’s salary and job duties that must be analyzed before determining the employee’s proper classification. As a result, many salaried employees are eligible for overtime pay, even though their employers do not pay them overtime for the hours they work in excess of 40 per week.
Additionally, sometimes state law and federal law differ, such as in setting the amount of salary that an employee must be paid to be classified as exempt. As a result, some employees who work in New York may be ineligible for overtime pay under federal law, but eligible for overtime pay under state law. For example, an employee paid $35,000.00 a year in salary might be exempt under federal law, but entitled to overtime under New York state laws, because the minimum salary that an employee must earn to be exempt from overtime is higher under New York law than under federal law.
Considering the intricacies and complexities of these cases, it is important to discuss your circumstances with an employment law attorney.