Most employers are bound by both the federal and state wage-and-hour laws and must comply with both laws. Where there is a difference between state law and federal law, the law more beneficial to the worker governs. As a result, an employer subject to both federal and state wage and hour laws may not disregard state law merely because its wage and hour policies are exempt from, or in compliance with, federal law. Our litigation attoney at Law Offices of David S. Rich, LLC is skilled in representing management in many types of labor and employment matters, including overtime and other wage and hour claims.
Which Employees Must My Company Pay Overtime Pay Under Federal Law?
The federal Fair Labor Standards Act, 29 U.S.C. §§ 201-219 (the “FLSA”), and its implementing regulations, 29 C.F.R. §§ 510 et seq., require that most employees in the United States be paid at least the federal minimum wage of $7.25 per hour for all hours worked and overtime pay at 1½ times the regular rate of pay for all hours worked in excess of 40 hours in a workweek.
However, the FLSA sets forth exemptions from both minimum wage and overtime pay for employees employed as bona fide executive, administrative, professional and outside sales employees. FLSA § 13(a)(1), 29 U.S.C. § 213(a)(1). The FLSA also exempts certain computer employees. FLSA § 13(a)(1), 13(a)(17), 29 U.S.C. § 213(a)(1), 213(a)(17). In general, to qualify for exemption, workers must satisfy certain tests concerning their job duties and be paid on a salary basis at not less than $455 per week. Job titles do not decide exempt status. For an exemption to apply, a worker’s specific job responsibilities and salary must satisfy all the requisites of the U.S. Department of Labor’s regulations.
Which Employees Must My Company Pay Overtime Pay In New York State?
The New York State Minimum Wage Act, N.Y. Labor Law § 650 et seq., requires that employees in New York be paid at least the New York minimum wage — which, depending on the county and the size of the employer, ranges from $11.10 per hour to $15.00 per hour — for all hours worked. Covered employees who work overtime must be paid at a rate that is 1½ times their regular, “straight-time” hourly rate of pay.
For non-residential employees in New York, this overtime rate applies to all time in excess of 40 hours in a payroll week.
For residential employees (that is, live-in workers), this overtime rate applies to all time in excess of 44 hours in a payroll week.
As noted above, the FLSA sets forth exemptions from overtime pay for certain categories of employees. New York follows these exemptions, but requires that these categories of employees be paid at least 1½ times the New York minimum wage for their overtime hours.
Which Employees Must My Company Pay Overtime Pay In New Jersey?
Article I, paragraph 23 of the New Jersey Constitution, the New Jersey State Wage and Hour Law, N.J.S.A. §§ 34:11-56a – 34:11-56a30, and the State Wage and Hour Law’s implementing regulations, N.J.A.C. §§ 12:56 et seq., require that employees in New Jersey be paid at least the New Jersey minimum wage of $8.85 per hour for all hours worked and overtime pay at 1½ the employee’s “regular hourly wage” for all hours worked in excess of 40 hours in a workweek.
Employees exempt from overtime under New Jersey law include any person employed in a bona fide executive, administrative or professional capacity. Other exempt employees in New Jersey are outside salespeople, farm laborers, hotel employees, employees of common carriers of passengers by motor bus, limousine drivers who are employed by an employer engaged in the business of operating limousines, and employees engaged in work relating to raising or care of livestock.
In New Jersey, to qualify for the executive, administrative, or professional employee exemption, an employee must be compensated on a salary or fee basis at a rate of not less than $455 per week.
The Law Offices of David S. Rich, LLC will vigorously defend your company in labor and employment litigation. If your company needs an highly experienced overtime attorney in New York City, contact my office at (212) 209-3972.
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