OVERTIME PAY

OVERTIME PAY

The Fair Labor Standards Act (“FLSA”) establishes minimum wage, overtime pay, record-keeping and child labor standards for full-time and part-time employees in the private or public sectors.  The current federal minimum wage rate is $7.25 per hour, individual states are free to set minimum wage rates above the federal minimum. 

 

For example, the minimum wage in New York is currently $15.00 (New York City, Long Island and Westchester); the remainder of New York State is $14.20 as of December 31, 2022.  For every hour worked in excess of 40 hours in a work week, an employer must pay its employees at least one and one-half time his/her regular rate of pay (“time and a half”). 

Although the FLSA sets the minimum wage and overtime pay requirements, it does not govern vacation, holiday, severance or sick pay; pay raises or fringe benefits; pay for weekend or holiday work; meal or rest periods.  Some of these issues are addressed by similar state laws.

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