Legal Question in Employment Law in California
Daily Overtime & paid holidays, sick leave etc
I have an ongoing dispute with our payroll dept based on actual hours worked and overtime pay when a holiday falls within the workweek. Ou policy is not to pay OT for the week if the employee works over the 40 hrs but are paid at regular rate if they do.
However, the Payroll Dept claims it is the law that we pay OT in excess of 8 hrs per day even though the employee may work 2 hrs over 8 in one day during s holiday week. It is confusing. Can you help me ASAP?
1 Answer from Attorneys
Re: Daily Overtime & paid holidays, sick leave etc
Overtime compensation is payable when an employee WORKS over 8 hours in a day or 40 hours in a week. The key is WORK. Holiday pay is not hours worked so it need not be counted when computing overtime. However, if an employee works more than 8 hours in a day, all hours over 8 would be payable at overtime rates - even if the employee did not work 40 hours in the work week. If you have any further questions feel free to call or email.
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