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How Your Employer May Have Paid You Less Working Overtime

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How Your Employer May Have Paid You Less Working Overtime

Overtime is a common practice in most job unfortunately; getting paid for it is usually not consistent. The first thing to keep in mind is that overtime is voluntary unless it is an emergency situation or an urgent attention.

That is the theory, but in reality we all know that if you repeatedly refuse to do overtime when the situation demands, you are most likely to be fired. If the company asks for an overtime, it is best to do them and if necessary demand the collection for an extra wage at the appropriate time.

How Bad Is Overtime for Us?

Disadvantages of overtime are usually aligned with health and un-productivity. below are some demerits of overtime your should know.

Exhaustion is a condition that you feel completely overwhelmed. It is often caused by stressful or excessive work, making you feel sick, tired and weak. According to a recent study by the Aragon Institute of Health Sciences, people who work more than 40 hours a week increase their risk of exhaustion six times compared to people who work less 35 hours per week.

But the question is, are employers really obligated to pay you for overtime and on what ground should you be paid for an overtime?

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How Is Overtime Paid?

Overtime is generated[1] when an employee exceed the standard working hour or time agreed. However, The remuneration of these extra hours can be made with money, days off or with the corresponding hours of rest pending on employer.

If it is with money, overtime must be reflected in the payroll and in no case can be paid with an amount less than the normal working hour. In fact, it is normal for the value of the overtime worked to be greater than the remuneration of an ordinary hour and more if those overtime hours were generated on a weekend or on a holiday.

When Must A Company Pay For Overtime Working?

During interviews,[2] employers do not inform potential employees of a need for overtime. However, the terms are often stated in the agreement papers or employment guide which most employee are not aware of.

The concept of non compliance with overtime far outweigh the consequences of not paying employees. Sometimes companies deliberately ignore employees right.

Below are some concepts your should know about overtime:

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1. When Your Employer Is Covered by the FLSA Law

If your employer is covered by the FLSA,[3] they are obligated to pay you for an overtime. However, If you fall into the “exempt” categories, you are not entitled for any payment. However, if your employer isn’t covered by the FLSA, you may be entitled to overtime under state law or otherwise.

2. When the Company’s Annual Income Meets the Specific Standard

Not all companies are eligible to pay employees for overtime. To determine if you are eligible first, determine whether it’s covered by the federal Fair Labor Standards Act (FLSA), and if it has $500,000 and above in annual sales and income. If not paying for overtime is at the companies discretion.

3. When You Are Asked to Report Duties Early

Sometimes employers may ask you to resume for duties early. However, most employees do not realize that starting before the appointed time could count as overtime. If this happens and you work on a clock system, you are entitled to extra payment.

Who Gets Paid For Overtime?

For employees working more than 40 hours a week are qualified to extra pay for the overtime hours. This is simple the standard as stated in the federal Fair Labor Standards Act, which requires the payment of overtime fro non-exempt employees.

Basically, there are two types of employees:[4]

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Non-Exempt Employees – 1.5 Times Regular Rates

Firstly, If you are employed as a non-exempt employee, then you are entitled to be paid a minimum of one and one-half times your regular rates of pay if your working hours exceed 40 hours in a week.

Exempt Employees – Obligated to Be Paid

If you were employed as an exempt personal then your company has a right to pay you for overtime at their discretion for engaging in overtime.[5] However, you are obligated to get paid for working overtime.

Anything to Do to Cope with Overtime?

There are times when overtime is not recommended. For example, if your employer made you do overtime on an earlier occasion and never acknowledge it. You must then demand for clear terms on working overtime.[6]

Accepting to work overtime should depends on many factors. It is advisable to analyze all the pros and cons of working longer hours for a company. If you see that it benefits you, do not hesitate to accept it.

Here are some helpful hints for accepting overtime.

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Establish a Relationship

There is nothing absolutely outstanding than a cordial relationship with your superior. Thus, to help you alleviate the burden that comes with overtime, develop a great relationship with your superior he or she could likely be a helping hand during overtime.

Analyze Company Practices

Each company has its own philosophy when it comes to schedules. When you join a company try to investigate the policies in the schedule so that you have full knowledge of the company’s practices.

Work from Home

There is always the possibility of taking work home, so you can avoid overtime. Try to reach an agreement with your company if this possibility is feasible.

Be Familiar with the FLSA Laws and Know Your Rights

Above all, be conversant with the FLSA Laws regarding employers and employees and you will be at the knowhow of your companies compliance regarding your rights.

Featured photo credit: Stocksnap via stocksnap.io

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Reference

[1] UnitedStatesDepartmentOfLabor: Overtime Pay
[2] SiliconGap: Interview Using Body Language Spotting a Potential and Productive Fellow
[3] UnitedStatesDepartmentOfLabor: Handy Reference Guide to the Fair Labor Standards Act
[4] TheBalance: The Difference Between an Exempt and a Non-exempt Employee
[5] OvertimeLawsInWashingtonState: How to Calculate Overtime Pay
[6] OfficeOfFinancialManagement: Fair Labor Standards Act (FLSA)

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