Being a salaried employee doesn’t always mean that you’re exempt from overtime pay. This is a common misconception among workers across the country, leading to countless cases of unpaid wages. At Herrmann Law, we are committed to upholding the rights of employees and helping employees recover the wages they are rightfully owed under federal law.

Let’s delve into the complexities of the law and debunk the myth that being on a “salary” means no overtime. We will also provide real-life examples to illustrate how employers often misapply the administrative and executive exemptions, leading to overtime and wage theft.

Overtime Rights for Salaried Employees

The Fair Labor Standards Act (FLSA) guarantees non-exempt employees a minimum wage for hours worked and overtime pay for hours exceeding 40 per workweek. Many employees assume that receiving a salary makes them exempt from overtime pay. However, this isn’t always the case. Unless you fall under certain exemptions, even as a salaried employee, you are entitled to overtime pay.

Misapplication of Administrative and Executive Exemptions

Employers often misapply the administrative and executive exemptions, which can lead to wage theft. These exemptions apply to employees who perform specific job duties and are compensated on a salary basis at a rate not less than $684 per week. However, simply having an impressive title or receiving a certain salary does not mean you’re exempt from overtime.

The Case of an Office Manager

Consider Lisa, an office manager at a small tech firm. Although her job title sounds significant and she is paid a salary, Lisa’s primary duty is to assist the IT team, maintain office supplies, and handle other clerical work. She routinely works 50 hours per week without overtime pay. Her employer justifies this by categorizing her under the “administrative exemption,” which isn’t applicable since her job duties don’t include the management of business operations or the exercise of independent judgment on significant matters.

The Case of a Retail Store Manager

Take Mark, a manager at a retail store. His employer classifies him as an “executive” based on his title and pays him a salary to avoid overtime pay. However, Mark spends the majority of his time stocking shelves, serving customers, and handling cash register duties, while only occasionally supervising employees. Despite working over 50 hours per week, he does not receive overtime pay. In this case, the “executive exemption” has been incorrectly applied since his primary duty isn’t management.

Don’t Let Your Salary Steal Your Overtime

Misapplying exemptions is a common tactic that employers use to deny overtime pay to salaried employees. If you find yourself in a situation similar to Lisa’s or Mark’s, remember: receiving a salary does not automatically exclude you from overtime pay. If you believe your rights have been violated, you should contact Herrmann Law for a free case evaluation. Feel free to contact us at (817) 479-9229 or submit your information to us online for review and someone from our office will contact you within 1 business day.

Claim Your Rightful Wages with Herrmann Law

At Herrmann Law, we believe in empowering employees with the knowledge to protect their rights and claim the wages they are legally owed. Our experienced attorneys are committed to representing workers with wage and hour claims across the country.

If you suspect that you’ve been wrongly classified under the administrative or executive exemptions and denied overtime pay, reach out to Herrmann Law by calling 817-479-9229 or submit your information to us online for review.

Let us help you secure the compensation you rightfully deserve. We’re more than a law firm – we are an employee’s fiercest advocate. #FLSA #FairWages #OvertimeRights #EmployeeRights