EXEMPT vs. NON-EXEMPT FROM OVERTIME PAY
One of the biggest misconceptions in California is that making a salary means companies do not have to pay employees overtime. This is not in fact the law. Rather, being paid a salary is only the first part of the inquiry. The more critical aspect that needs to be examined in exempt employee issues is what job duties is the employee performing on a day to day basis.
Often times, companies give employees fancy job titles and job descriptions to make it look like they are exempt under the FLSA and/or California Labor Code, when in fact the employee is performing different job functions than those stated in the job description. The reason why companies commit this type of violation is clear: Labor is the number overhead cost for the company and not paying the employees overtime helps the bottom line margins.
There are some differences between the California and FLSA exempt test. When courts interpret the California labor code for overtime pay purposes, they usually defer to the federal interpretation of the overtime pay laws. However, one big difference is that under the FLSA regulations in order to qualify for the administrative exemption from overtime pay, employees needs to perform job duties that involve exercising independent discretion and judgment more than not, whereas California law says that if you are not using your independent judgment to perform your job duties more than 50% of the time you are working, you are a non-exempt employee who should be making overtime.
Over $150 Million Obtained in Overtime Awards for Employees
At Blumenthal, Nordrehaug & Bhowmik, our San Diego, San Francisco and Los Anglees overtime pay lawyers and attorneys know how to help employees get all the money they are owed for being misclassified as exempt vs. non-exempt from overtime pay. We have the resources and experience to litigate cases throughout the entire state of California against the biggest companies in the world. Take action now and call our overtime law firm for a free legal consultation about whether or not you are misclassified as an exempt employee.
Asserting your Overtime Pay rights helps Everyone
When companies get caught violating the exempt vs. non-exempt laws, it helps the economy which makes it important for employees to make a claim. If companies get caught cheating, rather than pay employees overtime, it makes more economic sense for the company to hire more employees. For example, rather than paying one employee for 14 hour days, the company will pay 2 employees for 7 hour days each. Asserting your rights under the FLSA or California Labor Code can help the economy and of course your own checking account.
Class Action Lawsuits for Exempt Employees
You may be eligible for an additional service award from the court for bringing your claim forward on a class wide basis in a class action lawsuit. This means that if and when the case settles, the court can actually award you money in addition to the compensation you are owed for the unpaid wages, penalties and interest. The reason is clear: the Courts want to create an incentive for employees to stand up and protect their wage and hour rights. Contact us today for a free consultation about how to collect your unpaid overtime.
Find information about specific exemptions from overtime pay:
