Under the FLSA, employers are required to pay covered employees overtime pay for all of the time he or she works beyond 40 hours in a given workweek. The required overtime rate is one-and-one-half-times the employee’s regular rate of pay. For example, an employee who normally earns $15 per hour must be paid $22.50 per hour for all of the hours he or she worked over the first 40 hours in a week. Under the FLSA, an employer is not limited on the total hours it can work an employee per week, as long as the employee receives overtime pay for all time over 40 hours during that week. It is important to remember that the FLSA does not calculate overtime based upon how many hours worked in a day, but rather, it requires that the overtime calculations be based upon how many hours worked in a week. The FLSA does not require an employer to pay an employee extra compensation for work on weekends or holidays, unless overtime is worked on such days. One way in which employers try to avoid paying overtime is by requiring its employees to do certain parts of their jobs “off the clock.” For example, an employer may tell an employee to stay later than his or her scheduled shift to do certain prep work for the next shift or the employer may require that the employee clock in only after they have logged into their computers and checked their emails. These practices violate the FLSA, which requires that employers pay their employees for all hours worked.
The FLSA requires that employees be paid at least a minimum wage of $7.25 per hour. The employer must pay the employee his or her wages on the regularly scheduled payday. While an employer may make certain deductions from wages, it cannot do so in a way that reduces an employee’s wage to a level that is below the minimum rate for either regular or overtime pay.
The FLSA allows an employer to pool tips to be shared among workers who normally receive tips, such as servers, busboys, bartenders and those in similar positions. Dishwashers, cooks, managers and others who are not customarily tipped are not permitted to be included in a tip-pooling arrangement.