Claims for Unpaid OvertimeBoth federal and Pennsylvania law, with certain exceptions known as “exempt employees,” provide that an employee who works more than 40 hours per week is entitled to be paid overtime at a rate of 150% of the employee’s base hourly rate.

Although there are many categories of “exempt employees,” normally these are employees who are engaged in executive, administrative or professional activities and are paid on a salaried, not hourly, basis. Many times people think that because they get a fixed salary, they are not entitled to be paid for overtime. This is incorrect. It is not the declaration by the employer of giving a fixed salary that governs. Rather, it is the nature of the work that the employee does.

If there is a finding that the employer failed to pay overtime when it was due, there is a provision allowing the employee to collect double the amount due, unless the employer can show its good faith in failing to pay the overtime wages.

Generally speaking, it is the employer who has the obligation to keep records of the hours worked. However, employees are well advised to keep their own records if there is a possibility that they are not being paid properly for overtime hours.

Under Pennsylvania law, the employer must pay the amounts due to employees (regular pay plus overtime) within fifteen days of the end of the pay period. If wages are not paid within thirty days of the end of the pay period, the employer can be held liable for an additional 25% of the amount due.

In this economy, most people are happy they are working. That should not lead to an end result where the employer is taking advantage of the employee by not paying everything to which the employee is entitled.