From the HR Support Center: Does an Employee Working Over 40 Hours at Two Locations Need To Be Paid Overtime?

From the HR Support Center: Does an Employee Working Over 40 Hours at Two Locations Need To Be Paid Overtime?

We have an hourly employee who will be working at two different locations and under two titles, 25 hours at one location and 25 hours at the other. Will he need to be paid overtime?

 
Yes. Titles, job duties, and locations are irrelevant—focus only on the total number of hours worked by the individual for your organization.

Under the Fair Labor Standards Act, non-exempt employees must be paid overtime for all hours worked over 40 in a workweek for a single employer. In some cases, an employee working a schedule like this for two separate companies may even be entitled to overtime, assuming the organizations have the same owners and management or otherwise qualify as joint employers.

Failure to pay overtime may result in significant penalties, as employees who bring a successful claim are often entitled to double what they should have earned in overtime under federal law and frequently have similar remedies under state law.

The HR Support Center is a service offered to Payroll Partners clients, and provides access to exclusive, industry-leading HR tools and resources, for just a few dollars a month. From employee handbooks, job descriptions and other commonly used HR documents, to up-to-the-minute law alerts, easy-to-understand state and federal law libraries, and unique training videos, the HR Support Center will help you effectively manage your HR compliance and employee relations needs.

Legal Disclaimer: Payroll Partners and/or the HR Support Center are not engaged in the practice of law. The content in this email should not be construed as legal advice, and does not create an attorney-client relationship. If you have legal questions concerning your situation or the information you have obtained, you should consult with a licensed attorney. Payroll Partners and/or the HR Support Center cannot be held legally accountable for actions related to this article.