What to do if my employer is demanding that I repay overtime paid to me or risk job termination?
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What to do if my employer is demanding that I repay overtime paid to me or risk job termination?
My employer is demanding that I pay back previously earned overtime wages citing that they were not approved. When originally hired 3 years ago, I was told by my hiring supervisor overtime was OK as long as it was not excessive. However, now I have been told that I have to pay or I will be terminated. From what I have read, what they are asking is against the law. Do you have any suggestions on what I can do to resolve this issue?
Asked on April 25, 2012 under Employment Labor Law, Wisconsin
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 11 years ago | Contributor
If you worked overtime after being told by a supervisor that it was permitted, you must be paid the overtime and the employer may not seek its return. You also may not be terminated for refusing to pay it back; doing so would be a violation of the wage and hour laws, such as the Fair Labor Standards Act, and the regulations implementing them.
It doesn't matter if the supervisor did not have the authority to approve your overtime--that may be grounds to terminate, or in extreme cases, sue--the supervisor, but it does not affect you. All that matters vis-a-vis you is that the overtime was allowed by your supervisor at the time you worked and earned it.
If your employerer takes action against you for not returning overtime or for having earned overtime, you would have a legal cause of action. You could contact your state department of labor and/or hire an attorney to sue the employer.
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