What is Overtime?
Federal and Massachusetts Overtime Laws: What You Need to Know
Under both federal and Massachusetts labor laws, most employers are obligated to provide a premium rate of pay, which is 1.5 times the regular rate of pay, for any hours worked over 40 in a single week. This requirement applies to all employees who are not considered exempt from overtime.
Misconception about Overtime Pay
A common misconception regarding overtime law is the belief that anyone paid a salary is exempt from overtime pay. In reality, the rules are more intricate. While being paid on a salary basis is one criterion for exemption from overtime, it's not the sole factor. To qualify as exempt, an employee must also perform specific duties that the law recognizes as exempt. These duties might include acting as a bona fide manager or a professional, among others.
Understanding the Consequences
Getting this classification wrong can have significant consequences. If an employee regularly works over 40 hours a week and is not paid at the required time and a half rate, they have the right to pursue legal action. In such cases, they can potentially recover not only back pay but also multiple times the unpaid overtime, in addition to their attorneys' fees and other associated costs.
Ensuring compliance with overtime laws is crucial for both employers and employees, as misunderstandings in this area can lead to legal disputes and financial penalties.
Learn more here about overtime law in Massachusetts.
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