Under what conditions can a salaried employee be owed overtime in San Diego? Are you taking every step necessary to prevent overtime disputes from arising, even after an employee has left your company? What policies, procedures and strategies can an employer put in place to reduce or eliminate risks associated with overtime in California?
Generally speaking, California law requires the payment of overtime based upon an 8 hour work day and a 40 hour work week. The responsibility clearly lies with the employer to document the hours worked, and the payments that have been made for those hours. In California, overtime is not an issue of “salary” or “hourly”. It is the nature of the work being performed that dictates whether or not overtime must be paid, regardless of job title or how an employer classifies an employee.
The real concept here is “exempt” – when is an employee exempt from the requirement of an employer to pay overtime? California law clearly identifies the type of work that can be classified as exempt from overtime. This topic is far too complex to discuss in this venue, however, generally speaking California exempts the following type of labor:
- “Executive” – when more than 50% of the workers time are involved in managing the company (or a division of a business).
- “Administrative” – when more than 50% of the workers time is spent in service of the owner, or “servicing” the company itself
- “Licensed Professionals”
- “Computer Software Professional” – highly skilled, with specific task and pay related factors
- “Outside Sales Person”
As an employer, you are required to present detailed information about the hours worked and payment calculations on the employee’s pay stub. There have been several cases where an employee sues a former employer for unpaid overtime, even though the employer retained copies of a physical time card for that employee that showed otherwise. These cases involve employees who assert that the work was coerced or that it was impossible to do their job in 40 hours, and as a result they worked nights and weekends.
There are specific strategies you can employ to limit this exposure, and to close loopholes on what creates the wrong conditions and a salaried employee be owed overtime in San Diego. The experienced lawyers for employers at the Watkins Firm help our clients by reviewing existing policies and procedures, and the processes associated with keeping and reporting time. We can help you to tighten areas in your processes and policies that close the door to unpaid overtime litigation. Under what conditions can a salaried employee be owed overtime in San Diego? We invite you to contact the Watkins Firm or call today for a complimentary consultation at 858-535-1511. Learn about the value our team can provide to your business, and the work we can do together to increase the performance of your business, and the amount of money you are able to keep.
