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Violations of Texas Retail Workers Overtime Pay

Many employees who work in the retail sales industry are regularly cheated out of overtime wages they have earned. These violations occur in small Mom & Pop type retail stores as well as in large nation-wide chain stores. As a general rule, all retail employees are entitled to be paid time and one-half for all hours over 40 worked in a week. There are some exceptions to this rule and employers often misapply these exemptions to illegally deny workers additional compensation for their overtime hours worked. Exemptions that retail employers often use to illegally deny payment of overtime wages to employees are:

Inside Sales Exemption

Often, employers will classify their inside salespeople as exempt from getting minimum wage and additional pay for overtime despite stringent requirements that such salespeople do not meet. To be properly exempt from receiving these wages the employee must be working for a retail business, they must receive more than half of their wages from commissions, and they must be earning at least 150% the current federal minimum wage.

However, inside salespeople usually receive their pay in a salary or a salary plus commission basis, which means they are regularly not receiving 50% of their total pay through commissions. If this accurately describes your experience as an inside salesperson, you may have a claim against your employer for unpaid overtime wages. If you have any questions about the basis of the retail and service exemption or would like to discuss your legal options going forward, please contact us at (956) 205-0884

Outside Sales Exemption

Employers often wrongly classify their outside sales employees as exempt and illegally deny them minimum wages and overtime pay. Exemptions for outside salespeople are only applicable if their sales are primarily made at a customer’s place of business or home and not from a fixed site. Use of any fixed site, whether home or office, by a salesperson as a headquarters or for telephonic solicitation of sales may mean the employee is not truly an outside salesperson and is entitled to overtime pay. Outside sales do not include sales made by mail, telephone or the Internet. If you have questions about these laws or would like to discuss your potential claims, please contact us.

Manager/Assistant Manager/Supervisor

If an employee has a job title that implies management or supervision, they are often led to believe they cannot receive overtime pay because their title grants them salaried pay. However, an employee who simply carries the title of “manager” or “shift supervisor,” or something similar, and does not primarily serve that function, may actually receive pay for overtime even if they receive a salary.

If you have held the title of assistant manager, shift supervisor, or something similar, and have not been paid additional overtime wages, you may be able to file a claim against your employer for withholding overtime pay. If this sounds like your situation or you have further questions regarding underpaying employees on the basis of job title, contact an attorney with Leichter Law Firm PC.

Frequently Asked Questions

The attorneys at Leichter Law Firm PC have been helping individuals with their labor and employment disputes for years. Our retail workers overtime pay attorneys are here to help you get the compensation you deserve for not getting paid fairly for the hours you work at your retail job. Our experience and knowledge of labor and employment law, particularly when it comes to retail worker overtime-pay disputes, is unmatched. You need the experience and knowledge of the attorneys at Leichter Law Firm PC on your side to ensure that your employer pays for the hard work you have put in at your retail job.Below we have included a few frequently asked questions and their answers for your review. Do not hesitate to call us at (956) 205-0884 or contact us through our website if you have any further questions or there is more information that you need. We are always here to help.

What is the Fair Labor Standards Act (FLSA), and how does it relate to overtime pay?

The Fair Labor Standards Act (FLSA) is a federal law that was passed in 1938. The FLSA regulates overtime pay standards in employment for retail workers. The purpose of the FLSA is to protect employees and to give them a fair day’s pay for their work. The Act requires that all non-exempt employees be compensated at a rate of time-and-one-half the regular rate for all hours worked over 40 in a workweek. This is what is known as overtime pay. The FLSA also requires that overtime payments be made in a timely fashion.

To avoid overtime pay, employers may try to state that retail employees are exempt from overtime pay. When employers do this, it means that the employee is often denied fair compensation for their hard work. Working over 40 hours in a workweek is hard enough, but being denied fair compensation for the extra work is unjust.

When are retail employees most often denied overtime pay?

Retail employees are most frequently denied overtime pay right before the holidays. In the months of November and December, retail stores are often packed with shoppers looking for holiday gifts. Because of this, the stores are often forced to increase the number of employees working at any given time or work current employees more hours to handle the increased consumer traffic. This means that employees get more hours in a workweek and often go beyond the 40-hour threshold. When employees work more than 40 hours in a week, they should be entitled to overtime pay. However, given the increased work and the stressful time of the year, these employees are often unaware if they are being denied fair compensation by their employers. If your job has not paid you the overtime pay you are owed, you need an experienced attorney on your side to handle the employment law dispute.

What is compensatory time and how does it affect retail workers?

Compensatory time, also known as “comp time,” is available as an alternative to overtime payments only to governmental agencies. Private retail employers cannot offer comp time instead of paying overtime.

Whether it’s comp time, a wrongful exemption classification, or other unjust means, if your employer has denied you overtime pay for your retail job, you need to contact a skilled labor and employment law attorney.

Contact a Texas Retail Workers Overtime Pay Attorney

In addition to these violations, employees in the retail industry are often illegally denied overtime payment in various other ways. For example, hourly employees are often required to work off the clock when they have to begin work before their shift starts or complete work after their shift ends. Also, it is common for hourly retail employees to be illegally denied wages when their employer deducts time for meals and breaks and the employee is not completely relieved of work duties during those times. If you feel like you have been cheated out of your deserved pay, contact a Texas overtime pay attorney with Leichter Law Firm PC for a free, confidential consultation. Call us at (956) 205-0884 as soon as possible.