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Learning, Sharing, and Teaching => Ask a Mustachian => Topic started by: minority_finance_mo on January 07, 2015, 10:50:47 AM

Title: Was getting OT at old job, but not new one.
Post by: minority_finance_mo on January 07, 2015, 10:50:47 AM
A friend of mine was getting OT at my old job as an advertising media planner, and switched companies in the same state and is now no longer getting over time. The job titles, descriptions, and duties are the same, and she made more than the IRS mandated $455/week at both jobs (http://www.dol.gov/whd/regs/compliance/fairpay/).

My question is: I thought OT eligibility was determined by the government (i.e. if the govt. decides you are eligible for OT, you must receive OT). How is she performing the same tasks in the same state, and now no longer receiving OT?

(This is in NY, by the way, if that matters.)
Title: Re: Was getting OT at old job, but not new one.
Post by: solon on January 07, 2015, 11:10:59 AM
How many hours a week is she working? OT is only for hours in excess of 40 in a week.
Title: Re: Was getting OT at old job, but not new one.
Post by: LadyStache on January 07, 2015, 11:17:38 AM
If the gov't decides you are eligible for OT, you must receive OT. If the government does not decide you are eligible for OT, your employer may choose to give you OT anyway.
Title: Re: Was getting OT at old job, but not new one.
Post by: minority_finance_mo on January 07, 2015, 11:17:51 AM
How many hours a week is she working? OT is only for hours in excess of 40 in a week.

Her old job typically required her to work a lot of overtime, especially at the end of each quarter when she's usually in the office 50-60 hrs/week. That's pretty standard in the industry (I'm expecting a similar situation when I start next month.)

Honestly, she should have checked the company policy on overtime before accepting the offer, but assumed that it would be included as it was for her old job...

EDIT: Her contract did not mention if she was eligible or not, but did include this:

"Non-exempt employees are paid for overtime work in accordance with applicable law; exempt employees are not paid overtime. Which positions are exempt and which are non-exempt, and what is “overtime” work, are not defined by the Company but by federal and state law. You will be told whether your position is exempt or non-exempt, and you will be paid in accordance with your classification and the law."

Her contract doesn't, however, state whether she is or is not exempt... She just was told from a co-worker (same position) that they do not receive OT at her company.
Title: Re: Was getting OT at old job, but not new one.
Post by: minority_finance_mo on January 07, 2015, 11:21:52 AM
If the gov't decides you are eligible for OT, you must receive OT. If the government does not decide you are eligible for OT, your employer may choose to give you OT anyway.

Interesting, I hadn't considered the old employer may have been giving OT pay "at will." (She was salaried there as well.) Do employers do that?

Anyone happen to know who can she consult with to (discreetly) check if she does meet the eligibility requirements (the literature online is so damn confusing.) We discussed HR or DoL, but both options feel like rocking the boat too much so early into a new job.
Title: Re: Was getting OT at old job, but not new one.
Post by: GoldenStache on January 07, 2015, 11:40:47 AM
If it is a larger company it should be clearly stated in their HR handbook, she will probably need to figure out what job code she is under either way.

Below is about the 2004 overtime changes, I haven't seen anything about the actual details of Obama's changes (signed early 2014 starting in 2015)
Under federal law, a worker whose job is deemed "administrative," "professional" or "executive" in nature does not qualify for overtime. The categories themselves won't change.

Instead, the new rules aim to clarify the type of work that qualifies as administrative, professional and executive.


http://money.cnn.com/2004/08/23/news/economy/overtime/?cnn=yes     2004
Title: Re: Was getting OT at old job, but not new one.
Post by: irishbear99 on January 07, 2015, 11:49:47 AM
Exepmt vs. non-exempt positions are determined under the Fair Labor Standards Act (FLSA). The status should be stated on the position description. (Surely she received a copy of her PD when she started working there, no?) If not, I'd suggest she go to HR and ask whether her position is classified as exempt or non-exempt. This isn't rocking the boat, but simply asking for verification of the position status.
Title: Re: Was getting OT at old job, but not new one.
Post by: minority_finance_mo on January 07, 2015, 12:48:10 PM
If it is a larger company it should be clearly stated in their HR handbook, she will probably need to figure out what job code she is under either way.

Below is about the 2004 overtime changes, I haven't seen anything about the actual details of Obama's changes (signed early 2014 starting in 2015)
Under federal law, a worker whose job is deemed "administrative," "professional" or "executive" in nature does not qualify for overtime. The categories themselves won't change.

Instead, the new rules aim to clarify the type of work that qualifies as administrative, professional and executive.


http://money.cnn.com/2004/08/23/news/economy/overtime/?cnn=yes     2004

I don't know the size of the company (I'm imagining mid-sized), but they just went public in 2014 (so I'm sure they have guidelines...)

I'd suggest she go to HR and ask whether her position is classified as exempt or non-exempt. This isn't rocking the boat, but simply asking for verification of the position status.

Thanks Irish. I think that's a good idea as well.