Articles Tagged with Overtime Pay

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For decades, the traditional 40-hour per week work schedule has involved working five eight-hour days per week, often Monday through Friday. However, in recent years, many companies have realized the benefits of offering alternative work schedules for employees. Such benefits include improved job satisfaction, employee morale, additional opportunities for public service, reduced time off work for medical appointments and child-related obligations, and more.

Employees have many reasons for preferring an alternative schedule to the traditional nine-to-five. A popular schedule is working four 10-hour days in a week and having a consistent three-day weekend. However, California overtime laws traditionally required employers to pay overtime rates – time-and-a-half regular hourly pay – for any hours worked over eight in a day. In recent years, the legislature adapted California law to address new employment trends to allow and even encourage employers to offer alternative workweek schedules (AWWS) to employees without paying overtime rates.

Employers should be careful to comply with all relevant laws when offering an AWWS to employees in order to prevent liability. If you are considering offering an AWWS, it is always wise to first consult with an experienced employment and business attorney.

Fotolia_75565417_Subscription_Monthly_M-300x200If your business employs workers in California, you need to be aware of California laws that govern employer obligations and employee rights regarding overtime. Employer compliance is strictly enforced, and a failure to comply can result in a class action lawsuit against your business. California courts are known for being very employee-friendly, which can mean extensive liability for employers in overtime claims. At Structure Law Group, we can help your business understand the obligations regarding overtime and assist it with a plan to help manage those obligations.

Exempt vs. Non-Exempt Employees

California law requires overtime to be paid to all non-exempt employees. An employee is only exempt if they fit into a specific category codified by the State of California Department of Industrial Relations. The list includes many professions and occupations, but some of the more common business classifications for an exempt employee includes: