Employee overtime in the state of Arizona is governed by federal law and, more specifically, the Fair Labor Standards Act (FLSA). TheFLSA provides that, as a general rule, Arizona employees who work more than 40 hours per week must be paid at least time-and-a-half for overtime labor.
Exemptions do apply to this rule, but do not simply take the word of your Arizona employer if you are told the FLSA exemptions apply to you. Here is an in-depth look at the FLSA and whether you are entitled to overtime pay.
Arizona and the FLSA
Since Arizona has no specific state overtime laws, and as such, the FLSA governs the process. Given the time-and-a-half requirement for employees who work more than 40 hours and Arizona’s $8.05 minimum wage, eligible employees must receive at least $12.075 per hour for all overtime work. Currently, there are no daily limits on the amount of overtime hours an employee is permitted to work in a day, so long as they receive the time-and-a-half payment required by law once 40 hours have been worked in a given week.
Recent changes to the standard minimum level for salaried workers who are exempt from overtime has been increased from $455 per week ($23,660 per year) to $913 per week ($47,476 per year). These changes take effect as of December 1, 2016. As such, if you currently do not receive overtime pay, you may soon find yourself legally entitled to receive payment for overtime labor.
Exemptions to Overtime Laws
There are some categories of workers who are exempt from being eligible to receive increased overtime pay. One of those categories is executives and professionals who make more than $455 a week. As mentioned, recent changes to the law will increase this figure to $913 per week. As such, executives and professionals making less than $913 per week will be eligible for overtime pay from December 1, 2016 and onward.
Additionally, under the Section 7(i) overtime exemption of the FLSA, salespersons in service industries and retail are not eligible for overtime pay if three conditions are met, which are as follows:
- The employee is employed by a retail or service establishment
- The employee’s regular rate of pay exceeds 1.5 times Arizona’s $8.05 minimum wage for every hour worked in a workweek in which overtime hours are worked
- More than half of the employee’s total earning in a representative period are commissions
Unless all three of these conditions are met, an Arizona employer is required to pay overtime for all hours worked after 40 hours have been reached in a given week. And, as is customary, the rate for overtime pay is once again 1.5 times the regular pay rate.
Employees in essential services such as emergency services and transportation often have their own set of special provisions to determine overtime pay, as outlined by collective bargaining agreements and similar provisions.
Finally, if you are an independent contractor, you are not eligible for overtime pay under Arizona and federal law. Still, some employers may call you an independent contractor when you actually qualify as an employee.
No matter what your industry or job title is, seek out an Arizona employment law attorney if you believe that you are eligible for overtime pay in Arizona. An employment lawyer helps employees just like you assess the facts and determine whether you are owed overtime pay as a matter of federal and Arizona law.
The employment attorneys at Tyler Allen Law Firm are here to help. If you believe that your employer has been treating you unlawfully, contact us today at (602)456-0545