Overtime Laws in California
California is a state that has been at the forefront of protecting worker rights, and overtime pay is one area where its laws stand out.
The California overtime laws are designed to ensure workers are fairly compensated for their time and effort beyond the standard working hours. While overtime is a benefit that many employees might be entitled to, understanding when and how it applies can be a bit complicated.
In this MJB Law Group article, we will explore the key aspects of California Overtime Law, what qualifies as overtime, how to calculate it, and what to do if your rights are violated. Whether you’re an employee trying to make sure you’re paid fairly or an employer ensuring compliance, this guide will give you the essential knowledge you need.
California Overtime Laws: The Basics
Understanding California overtime laws begins with distinguishing between exempt and nonexempt employees. California law mandates that non-exempt employees are entitled to overtime pay, while exempt employees may not be.
Exempt vs. Non-Exempt Employees
Exempt employees are those who are excluded from receiving overtime pay, often due to their job duties or level of responsibility. Non-exempt employees, on the other hand, are entitled to overtime when they work more than 8 hours in a day or 40 hours in a week.
Regular Rate of Pay
The regular rate of pay is the standard hourly wage an employee earns before overtime. This is the base rate from which overtime pay is calculated. For salaried employees, the regular rate is determined by dividing their salary by the number of hours they typically work in a week.
Overtime Rate
The overtime rate in California is 1.5 times the employee’s regular hourly rate. For example, if you earn $15 an hour, your overtime rate would be $22.50 per hour.
Overtime Pay Calculation
Overtime pay is typically calculated as time-and-a-half, but certain situations may require double time. We’ll cover more about that later in this guide.
Specific Overtime Laws in California
California’s overtime laws have some unique characteristics that make them different from the federal Fair Labor Standards Act (FLSA).
Daily Overtime
In California, daily overtime kicks in after 8 hours of work in a single day. For example, if you work 10 hours in a day, the last 2 hours will be paid at the overtime rate.
Weekly Overtime
If you work over 40 hours in a single workweek, you are entitled to overtime pay for the extra hours worked, regardless of whether the overtime occurred on one day or spread across the week.
Overtime for Meal and Rest Periods
California law mandates that employees be given a 30-minute meal break if they work more than 5 hours a day. If an employee works more than 10 hours in a day, they are entitled to a second meal break.
Missing or late meal breaks can result in additional pay for the employee, as well as possible overtime pay for the missed time.
Overtime for On-Call Time
If you’re on-call and required to be available to work, you may be entitled to compensation for that time. California law requires that you be paid if you are on-call and restricted in your activities.
Overtime for Split Shifts
A split shift occurs when your workday is broken up into two distinct periods of work. California law requires that employees working split shifts be compensated for the extra time worked in this manner.
Overtime for Compensatory Time Off (Comp Time)
In California, compensatory time off (or “comp time”) is not allowed in place of overtime pay for non-exempt employees. If you work overtime, you must be paid accordingly, rather than being given time off in the future.
Complex Overtime Scenarios
The application of overtime pay becomes even more complicated in certain situations. Let’s look at some of these cases.
Overtime for Multiple Jobs with the Same Employer
If you work multiple jobs for the same employer, the hours worked across different positions may be combined to determine your eligibility for overtime.
Overtime for Multiple Jobs with Different Employers
When working for different employers, overtime laws apply separately to each employer. Your hours worked for one employer do not count toward your overtime hours for another.
Overtime for Salaried Employees
Salaried employees may also be entitled to overtime pay if they are classified as non-exempt. However, their overtime rate is calculated differently, based on the salary divided by the number of hours they are expected to work.
Common Overtime Violations and Penalties
Many employers unintentionally violate overtime laws. Understanding these violations can help you recognize if your rights are being violated.
Failure to Pay Overtime
Some employers may fail to pay overtime, either by accident or by attempting to circumvent the law. If this happens, employees are entitled to back pay and may file a claim.
Miscalculating Overtime Pay
Another common issue is miscalculating the overtime rate. Employers sometimes overlook including certain pay components like bonuses or commissions when calculating overtime.
Improperly Classifying Employees
Employers may incorrectly classify employees as exempt, thus denying them overtime pay. If you believe you’ve been misclassified, it’s essential to consult with an employment lawyer to remedy the situation.
Retaliation Against Employees Who Complain
Retaliation is illegal under California law. If you report overtime violations, your employer cannot retaliate by firing, demoting, or discriminating against you.
How to Calculate Overtime Pay in California
Knowing how to calculate overtime pay is essential for both employees and employers to avoid disputes and ensure fair compensation.
Step-by-Step Guide
- Determine Regular Hourly Rate – If you are salaried, divide your salary by the number of hours worked in a typical work week.
- Calculate Overtime Rate – Multiply your regular hourly rate by 1.5 to determine your overtime rate.
- Calculate Overtime Pay – Multiply the number of overtime hours worked by your overtime rate.
Using Online Overtime Pay Calculators
There are online tools available that can help you calculate your overtime pay based on your regular rate, overtime rate, and hours worked. These can simplify the process, ensuring accuracy.
Recordkeeping Requirements
California employers are required to keep accurate records of hours worked by employees. This includes overtime hours, which must be recorded separately.
What Records Must Be Kept?
Employers must maintain detailed records of:
- Hours worked
- Overtime hours worked
- Pay rates and salary
How Long Must Records Be Kept?
These records must be kept for at least 3 years in California.
Enforcing Your Rights
If you believe your overtime rights have been violated, there are steps you can take to enforce them.
Filing a Wage Claim with the California Labor Commissioner
If your employer is not paying you the overtime you’re entitled to, you can file a wage claim with the California Labor Commissioner’s office.
Hiring an Employment Lawyer
If you need help navigating complex overtime laws or pursuing a wage claim, hiring MJB Law Group may be the best course of action.
Protecting Yourself from Overtime Violations
Understanding your rights and keeping track of your hours is crucial in preventing overtime violations.
Understanding Your Rights
Familiarize yourself with the overtime laws that apply to your specific job and situation.
Tracking Your Hours
Keep a record of all your working hours, including overtime, to ensure accurate pay.
Documenting Overtime Work
Make sure to have written records or digital evidence of overtime work to back up your claims if needed.
Communicating with Your Employer
If you notice any overtime issues, address them with your employer in writing to maintain a record of your communications.
MJB Law Group: The Legal Experts
When you need assistance with employment law, MJB Law Group is here to help. As a boutique litigation firm focusing on employment and personal injury law in the state of California, MJB Law Group specializes in fighting for employees who have had their rights violated.
Whether you’re dealing with overtime pay disputes or wrongful termination, our experienced attorneys will fight for you.
We understand the financial burden that often comes with legal battles, so we offer our services on a contingency fee basis. Let us take on the burden for you—contact us today to ensure your rights are protected!
Conclusion
Understanding California overtime laws is crucial for both employees and employers. Knowing your rights, ensuring accurate overtime pay, and taking the right steps to address violations can make all the difference.
Whether you’re calculating overtime or facing a dispute, this guide should serve as a useful resource.
And remember—if you’re in need of legal assistance, MJB Law Group is ready to help you navigate the complexities of California employment law.
