Minimum Wage and Overtime Claims

California has a number of regulations to protect employees, including rules that cover wage and hour issues. These rules include provisions related to minimum wage requirements and overtime pay requirements. As of January 1, 2017 the minimum wage in California is $10.50/hour. In some California cities, the minimum wage is even higher. This minimum hourly wage is significantly higher than the federal minimum wage, which is $7.25. Unlike many other states, California’s minimum wage applies to tipped employees as well such as servers. In addition to the minimum wage requirement, California requires that employers pay employees a higher pay rate after they have worked more than 40 hours in a workweek. Despite California’s strict rules employers regularly violate minimum wage and overtime requirements. If you are in need of an employment lawyer because you believe your employer has violated California’s minimum wage or overtime rules, it is important that you contact an experienced Los Angeles Wage and Overtime Claims Lawyer who will review the facts of your case and who will help you receive compensation which was improperly withheld from you.

Under California law, as of January 1, 2017, employers must pay employees at least $10.00 per hour. On July 1, 2016, in Los Angeles the minimum wage that employers with at least 25 employees must pay increased to $10.50. However, employers routinely violate this requirement in a number of different ways.

• Paying the incorrect minimum wage. The federal minimum wage is significantly lower than California’s minimum wage. Some employers pay employees the federal minimum wage in violation of state law. Or, employers pay the state minimum wage when they should be paying the higher city or local minimum wage
• Paying salaried employees less than the minimum wage. The minimum wage law applies not only to hourly employees, but also to salaried employees. For salaried employees a $10.50/per hour minimum wage is equal to $21,840 per year. Thus, if an employer pays an employee a salary of $19,000 per year, for example, that would be a violation of the minimum wage rule.
• Paying few hours than worked. If an employer fails to pay an employee for all hours worked, then the employer may be in violation of the minimum wage requirement as well as other wages and hours rules. For example, employers sometimes tell employees to clock out, but then require those employees to continue working.
• Underpaying tipped employees. According to the Fair Standards Labor Act (FLSA), a tipped employee is one who regularly receives more than $30 in tips on a monthly basis. Such employers are generally restaurant servers, bartenders, and bellhops. Under federal law and under laws of many states, employers can pay a lower minimum wage to tipped employees as long as the employees make enough in tips to bring their total hourly earnings up to at least minimum wage. If an employee does not earn enough in tips then the employer must make up the difference. California’s hours and wage law is different. In California employers must pay tipped employees the full state or local minimum wage in addition to their tips. Some employers try to skirt the law by paying tipped employers a lower minimum wage.

Under California law, employers must pay an employee time and a half after that employee has worked 8 hours in a day and after 40 hours worked in a week. After 12 hours worked in a day, the employee must get paid double time. Overtime pay rules apply only to non-exempt employees.

Common ways employers attempt to get away with failing to pay employees overtime include:

• Working off the clock. When an employer asks an employee to “clock out” before finishing their shifts, this allows he employer to avoid paying overtime.
• No breaks. Asking employees to work through breaks and lunch may result in the employee working enough hours to qualify for overtime, but not actually getting paid overtime.
• Misclassifying an employee as exempt. Employees who are classified as exempt are not required by law to get paid overtime. If an employee is misclassified as exempt then the employer would have unlawfully defined that employee overtime pay

If you believe your employer has violated your rights under California’s wage and hour laws, it is important that you speak with an experienced employment lawyer right away. The staff at VAKILI & LEUS, LLP has years of experience successfully representing clients who have claims against their employers for vacation pay, wage-and-hour claims, and other employment-related issues. Keep in mind that there are time limits for filing claims. Contact us at 1-855-52LA-LAW (1-855-525-2529) to schedule a free, no obligation consultation regarding your concerns related to your employment.