WAGE AND OVERTIME CLAIMS

Overtime claims or lawsuits can be filed by employees who are denied overtime wages in violation of the provisions contained in the United States Fair Labor Standards Act of 1938. This federal law provides minimum wage, overtime, and child labor standards. This law is enforced by the Department of Labor's Employment Standards Administration.

Overtime claims are possible when an employee eligible for overtime wages is denied fair compensation. Employees are eligible for overtime pay when they work more than forty hours in a work week. Overtime pay is defined as one and a half times an employee's normal hourly wage.

Generally, every employee who makes less than $455 per week or $23,660 annually is eligible for overtime pay and may file an overtime lawsuit if they do not receive this compensation. Overtime laws were revised in August of 2004 increasing this minimum earning wage to cover hundreds of thousands of employees in low-wage industries such as agriculture, garment manufacturing, health care, day care, restaurant work, janitorial services, and temp workers.

In addition to low wage workers, all blue collar employees, law enforcement officials, public services workers, and first responders are eligible for overtime pay, and can file an overtime lawsuit if these wages are unlawfully denied. Also, many “white collar” jobs are now covered under the law, including certain commissioned salesman, stock brokers, mortgage and loan officers, bank employees, financial advisors, software and computer engineers, technology workers, and the like.

Under federal law, there are certain employees who are not eligible to receive overtime pay, and are therefore not eligible to file an overtime lawsuit. These employees include anyone who makes more than $455 per week in the following positions: executive, administrative, professional, computer, and outside sales. There are a number of difficult tests these employees must pass, however, in order to be exempt from overtime wages. These tests, all outlined by federal law, were made stricter by the 2004 amendments to the law. Despite the stricter regulations, employers, including many of the nation’s largest, continue to violate overtime law through the improper classification of employees as exempt.

If an employee believes they might be eligible for overtime, they can obtain an attorney and file a private lawsuit. Or they can submit a claim to the Department of Labor, who will investigate violations of overtime law. In 2003, the Department investigated 40,000 cases of employer overtime law violation which led to more than $212 million dollars in back wage collection. Generally, an overtime lawsuit or complaint must be filed within two years of the violation. If an employer willfully violated the law, however, the employee is entitled to collect three years of back overtime pay.

In recent years, hundreds of millions of dollars in civil overtime lawsuit damages have been awarded to victims of overtime law violations. Numerous large class action overtime lawsuits have been filed and successfully litigated against major companies such as Farmer's Insurance, Bank of America, Starbucks, Wal-Mart, Sears Roebuck, Radio Shack, Merrill Lynch, Wells Fargo, UBS Financial Services, CitiGroup, Morgan Stanley, IBM, Computer Sciences, Electronic Arts, Seibel, Kaiser Permanente, American Automobile Club, UPS, 24 Hour Fitness, and many others. Class action overtime lawsuits are highly effective tools to combat large-scale overtime law violations. In 2006 alone, class action overtime payouts topped $500 million dollars.

For more information about overtime rights for specific jobs and industries, go to the Department of Labor here.

If you believe you are the victim of overtime law violations, you might be entitled to compensation for back wages and should consider pursuing a claim. To discover what your legal rights and options are, contact one of our attorneys here.

Our firm is currently pursuing overtime claims against Silverleaf Resorts, Inc., a vacation resort operator with properties in Georgia, Arkansas, Connecticut, Illinois, Indiana, Louisiana, New York, Texas, Florida, Massachusetts and Missouri. If you are current or former employee of Silverleaf Resorts, Inc. and believe you are owed compensation for unpaid overtime, please contact us

Our firm is currently investigating potential overtime claims against The Pep Boys, Inc. on behalf of automobile mechanics, sales and service managers. If you are a current or former employee of Pep Boys and believe you are owed compensation for unpaid overtime, please contact us

© 2008 JAY D. BROWNSTEIN 
BROWNSTEIN NGUYEN & LITTLE LLP 
2010 Montreal Road 
Tucker, GA 30084 
(770) 458-9060

All rights reserved.

*Brownstein Nguyen & Little LLP, with offices in Atlanta, Tucker and Augusta, Georgia, represents clients in many types of employment cases including race, age and sex discrimination, wage and hour cases, trade secret, employment agreements, severance packages, whistleblower and general employee litigation. This article contains general advice which may or may not apply to your particular situation. For specific legal advice concerning your case, consult a qualified employment attorney.

 

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