Overtime Wage Claims Under The Fair Labor Standards Act And Indiana Law
Many American's live paycheck to paycheck, making untimely or improper payment a burden for many workers. Employees may hesitate, however, to challenge their employer and assert their right to be paid the amount they have earned.
The Fair Labor Standards Act (FLSA) and other applicable state law protect an employee's right to timely and correct payment of overtime hours.
Fair Labor Standards Act: Overtime Pay
The U.S. Wage and Hour Division of the Department of Labor (USDOL) specify that any employee covered by the FLSA must receive overtime pay for any hour worked over 40. Additionally, the rate of overtime pay must be at least 1.5 times the employee's regular base pay. These rules do not apply to weekend or holiday hours, however, which may remain at an employee's standard rate.
Occasionally an employee is hired to work more than 40 hours per week. The FLSA has provisions to ensure fair overtime payment for these situations as well. This ensures employers cannot avoid paying overtime based upon an employee's contract.
FLSA Vs. Indiana Wage Claims Act
For those individuals not covered by the FLSA, it is possible to have a claim arise under the Indiana Wage Claims Act (Act). This Act allows employees who have received less compensation than they are owed, or have not received their compensation on time, to receive back-wages, as well as penalty damages and attorney fees.
The Indiana Department of Labor (IDOL) limits these claims and states that the maximum amount a claim arising under the Act may be $6,000. Any amount exceeding this limit should be brought to the attention of a private attorney to determine how to proceed.
Collecting Wages Owed
If anyone has questions about the FLSA or the Act they should contact an experienced employment law attorney. An attorney can help determine your eligibility and the viability of a potential claim.
Finally, not receiving the proper income or not receiving it on time can be a very time-sensitive dilemma. Families need to pay their mortgage, their phone bill, and put food on the table. While the USDOL and IDOL do their best to resolve wage disputes as quickly as possible, it is recommended an employee consult an attorney to ensure all procedures are followed correctly and promptly.