WAGE AND HOUR FAQ

What is considered overtime pay under California’s labor law?

Overtime pay is defined as:

1. •Time and one-half (your hourly rate and one-half of that rate) for hours worked in excess of 8 hours in a workday
   

2. •Double time (twice your hourly rate) for hours worked in excess of 12 hours in a workday)
   

What qualifies as overtime under California’s labor law?

Overtime is defined as working:

1. •over 8 hours in one work day
   

2. •over 40 hours in one work week
   

3. •6 days in one work week
   

Is an employee entitled to overtime pay if the overtime work was not authorized by a supervisor?

Yes.

I am paid on a commission; am I entitled to overtime?

You may be.  While California law provides for certain exceptions for inside and outside sales personnel, some jobs will not qualify for those exemptions.  For example, people involved in the financial services industry are generally not exempt from overtime under the provisions of the Fair Labor Standards Act (FLSA) even though they may be exempt under California law.  Also, some “commission” plans do not meet the strict definition applied to “commissioned employees” under California law and the employer may be held liable for overtime compensation.

What should I do if my employer threatens to retaliate against me for being a part of a wage and hour lawsuit?

It is against state and federal law to fire, harass, or discriminate against an employee who files a grievance, complaint, or employment-related lawsuit.  If you have experienced such treatment from your employer, contact an attorney immediately.

When would an employee be “exempt” from receiving overtime benefits?

Typically, an employee is considered “exempt”

1. •if he is a manager and spends at least 51% of his work time managing, or
   

2. •if he is an administrative professional who performs his duties with only limited supervision and with regular independence and discretion.
   

Occasionally, employees are misclassified as exempt.  If you’re unclear of your employment position status, consult with an attorney to clarify your status as either an employee eligible for overtime benefits or an “exempt” employee.

Are you entitled to meal breaks and rest periods from work?

Employees are entitled to breaks as follows:

1. •10 minute break for every 4 hours worked
   

2. •30 minute (work-free) meal break for every 5 hours worked in one workday.
   

Do I need to clock out if I’m working through my lunch?

No.

Am I required to share my tips?

You are not required to share tips with owners, supervising or managing employees or non-service employees often referred to as “the back of the house”.

Can my employer impose a “use it or lose it” vacation pay policy if I’m terminated?

No.  Accrued vacation time must be paid for all vested time that exists as of the date of termination.

Can I be reimbursed for work related expenses?

Yes.  Your employer should reimburse you for expenses incurred in the normal discharge of your employment duties.  Similarly, the employer should not be passing off its own costs of doing business onto its employees.