Federal wage and hour law requires most covered employees to receive at least the applicable minimum wage and overtime compensation when they work more than 40 hours in a workweek. Wage violations can occur even when an employee is salaried, paid a day rate, paid by the job, treated as an independent contractor, or told that overtime was not authorized.
Common Overtime and Wage Violations
- Misclassification as exempt: Being paid a salary does not by itself eliminate overtime rights. The employee's actual duties and the applicable exemption requirements control.
- Off-the-clock work: Employers generally must count compensable work performed before clocking in, after clocking out, during unpaid meal periods, from home, or through electronic communications when the employer knows or should know the work is being performed.
- Independent-contractor misclassification: A worker labeled a contractor may still be an employee for FLSA purposes based on the economic realities of the relationship.
- Improper regular-rate calculations: Certain bonuses, commissions, incentive payments, and other compensation may have to be included when calculating the overtime rate.
- Minimum-wage violations: Improper deductions, flat daily rates, piece rates, or uncompensated time can reduce an employee's effective hourly rate below the lawful minimum.
- Tip violations: Restaurants and hospitality employers may violate the law through improper tip credits, unlawful tip pools, retention of employee tips, or related pay practices.
Who Is Entitled to Overtime?
The Fair Labor Standards Act (FLSA) generally requires nonexempt employees to receive one and one-half times their regular rate for hours worked over 40 in a workweek. Exemptions are interpreted according to specific salary and duties requirements. Common disputes involve the executive, administrative, professional, outside-sales, computer-employee, and highly compensated employee exemptions.
Job titles are not decisive. A manager who spends most of the workday performing the same non-management work as hourly employees, for example, may not qualify for an executive exemption merely because the employer calls the position “manager.” Likewise, an administrative title does not automatically establish the administrative exemption.
What Counts as Hours Worked?
Compensable time may include required pre-shift and post-shift duties, certain training and meetings, work performed remotely, time spent responding to work calls or messages, and interrupted meal periods. Whether travel, waiting time, sleep time, on-call time, or other periods are compensable depends on the circumstances and the applicable rules.
What You Can Recover
A successful wage claim may include unpaid wages, unpaid overtime premiums, an additional amount as liquidated damages, and attorneys' fees and costs. The FLSA also prohibits retaliation against employees who assert protected wage-and-hour rights. The ordinary limitations period is generally two years, and may extend to three years for willful violations, so delay can reduce the amount recoverable.
How Fidlon Legal Handles Wage Claims
- Evaluation: We review compensation, schedules, job duties, pay records, and the employer's policies.
- Investigation: We identify time records, job descriptions, electronic evidence, and witnesses relevant to the pay practices.
- Demand and negotiation: Where appropriate, we calculate damages and present a settlement demand.
- Litigation or collective action: If a negotiated resolution is not appropriate, claims may be pursued individually or, when the legal requirements are met, on behalf of similarly situated employees.
- Resolution: We seek the wages and other relief available under the governing law.
Representative Results
Fidlon Legal has handled individual and collective wage-and-hour matters involving unpaid overtime, misclassification, minimum-wage violations, and off-the-clock work. Representative matters described on the live Fidlon Legal site include a $2.98 million FLSA settlement involving financial-services employees alleged to have been misclassified, a recovery exceeding $131,000 for a home-health aide paid a flat daily rate, and a $99,000 settlement for six Metro Atlanta title-pawn coordinators. Prior results do not guarantee future outcomes.
Frequently Asked Questions
Do I qualify for overtime if I am salaried?
Possibly. Salary is only one part of the analysis. The employee's actual duties and the requirements of a recognized exemption must also be considered.
How far back can unpaid wages be recovered?
FLSA claims are generally subject to a two-year limitations period, which may extend to three years for willful violations.
Can a worker classified as an independent contractor bring a claim?
Yes, if the relationship is legally one of employment despite the label used by the company.
Will I have to go to court?
Many wage disputes resolve without trial. If litigation is required, counsel prepares the client for each stage of the process.
How are these cases typically billed?
Fidlon Legal handles appropriate employee wage-and-hour cases on a contingency basis, with the fee arrangement explained before representation begins.