Is there any way an employer can get rid of overtime for hourly workers?

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Is there any way an employer can get rid of overtime for hourly workers?

The company I work for is separated into 2 companies, but there are employees who work both stores and work over 40 hours a week. The company names are different but the store names are the same, owners and food are all the same.

Asked on March 1, 2012 under Employment Labor Law, Indiana

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

What you describe is a common attempt to get around overtime. It is also illegal. Hourly employees must be paid overtime whenever they work more than 40 hours in a week. In determing whether a worker works more than 40 hours in a week for an employer, the law and the Department of Labor look to the facts and the reality of the situation, not  the way employers try to "game" the system. If employees are working for the same employer, it does not matter whether they are working for different legal entities or at different job sites or stores--it is still considered one job, and if the total hours worked exceed 40, the employees are owed overtime.

From what you describe, this sounds like a situation, therefore, where you would be owed overtime; having different company names does not avoid the overtime obligation. You could contact your state department of labor to file a complaint, and/or speak with an employment law attorney about bringing a lawsuit. Good luck.


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