California overtime law: what you need to know

It is important that workers in California understand the state’s overtime pay rules so that workers know what they are owed under California labor laws.

How many hours do I work before overtime pay kicks in?

An employee classified as non-exempt is paid their regular hourly wage for a shift of up to eight hours, as indicated by California’s Department of Industrial Relations (DIR).

If an employee must remain on the job beyond eight hours, each hour after hour eight is to be paid at one and one-half times the employee’s regular hourly rate up until the employee has worked a total of 12 hours in one day.

If circumstances prevent the relief of the employee even then, the employer must pay the worker double their base hourly rate of pay for every hour worked over 12 consecutive hours, according to California labor laws.

How many weekly hours qualify for overtime?

Under California overtime law, a “workweek” is considered to be any seven consecutive days, starting with the same calendar day each week beginning at any hour on any day, so long as it is fixed and regularly occurring.

A typical workweek is seven consecutive days and can start on any predetermined day of the week. A workweek is 168 hours in length and can be counted, for example, from Sunday through Saturday, or Monday through Sunday, or Wednesday through Tuesday, per the DIR.

An employer must provide an employee with a fixed weekly schedule which “may be changed only if the change is intended to be permanent and is not designed to evade the employer’s overtime obligation.”

An employee is supposed to work no more than 40 hours, or the equivalent of five eight-hour shifts, within the established workweek without earning overtime pay.

The first eight hours worked on the seventh consecutive day of the workweek is to be paid at the rate of one and one-half times the base hourly rate of pay. Once eight hours is exceeded on the seventh day, the employer is obligated to pay the employee double their base hourly rate of pay until a new workweek starts.

What if I only work 35 hours per week during a regular workweek?

If your workweek consists of less than 40 hours, then your employer does not have to pay overtime until you work more than 40 hours in a workweek or more than eight hours in one day.

If your workweek varies between 32 to 38 hours every week, and the average agreed workweek is 35 hours, then your regular rate of pay is based upon 35 hours.

If you work more than 35, but no more than 40 hours in one workweek, you will have earned your regular rate of pay for all hours worked unless you worked more than eight hours in a single day. If you worked more than 40 hours in one workweek, you are entitled to overtime compensation of one and one-half times your regular rate of pay.

If I work unauthorized overtime, is my employer required to pay me for it?

Yes. According to California law, you must be paid at the rate of one and one-half times your regular rate of pay for all hours worked beyond eight up to and including 12 hours in a workday, and for the initial eight hours worked on a seventh consecutive day on the job within a workweek.

Double pay is earned for all hours worked beyond 12 in any single workday and for any hours worked beyond eight on the seventh consecutive day in a single workweek.

California law says the employee must be compensated for those overtime hours, but does not prohibit the employer from disciplining an employee who violates the company’s policy of seeking authorization to work overtime hours.

Exempt vs. non-exempt employees

How does classification as an exempt or non-exempt employee affect California overtime pay rules?

There is confusion about the difference between employees who are classified as “exempt” and “non-exempt.” According to the California DIR, being classified as an exempt employee means that they are not entitled to overtime wages as stipulated by California overtime pay rules.

There are numerous exemptions to California overtime law, mostly centering around certain professions. To be classified as exempt, an employee’s position must involve executive, professional, or administrative duties. However, some additional notable overtime exemptions include:

• Computer software employees who are paid on an hourly basis
• State employees (including city, county, or special district employees)
• Outside salespersons
• Individuals who are employed by their parent, spouse, or child
• Employees in a national service program such as AmeriCorps
• Certain drivers
• Student nurses
• Airline employees
• Carnival ride operators
• Professional actors
• Commercial fishing boat crew members
• Underage babysitters
• And many more

The trouble with these exemptions is that, even when an employee’s job responsibilities do not meet the criteria to be considered exempt, some employers will purposely misclassify employees as exempt to avoid having to pay overtime.

An exempt employee in California must be paid a minimum of at least $54,080 per year, and must be paid a set salary as opposed to an hourly rate. These criteria are based upon the federal Fair Labor Standards Act (FLSA), but California and other states may have more stringent requirements than those at the federal level. Indeed, federal law as of 2021 only requires exempt employees receive a salary of at least $35,568 annually.

Exempt worker activities can span an infinite number of job descriptions. Unfortunately, some exemptions may contain fine print and only exempt certain professionals. If an employee doesn’t know how to interpret California overtime law, they may find themselves taken advantage of by their employer.

Luckily, employees can enlist the help of qualified labor law attorneys to make sure they are getting the wages they are owed. These experienced legal professionals are intimately familiar with overtime laws and know when an employee should or should not be classified as exempt. In the case that an employee is being denied the overtime wages they are legally owed, lawyers can help launch legal action against their employers.

Numerous employees have successfully taken action against their employers and sought compensation on behalf of themselves and other similarly situated employees. In addition to backpay, these lawsuits and class action lawsuits can seek penalties, interest, and other monetary damages for employees.

Filing a California labor lawsuit

If you have been subjected to violations of California labor law such as employee misclassification or lack of proper overtime or meal breaks, you may be able to file a lawsuit and pursue compensation. Filing a lawsuit can be a daunting prospect, so Top Class Actions has laid the groundwork for you by connecting you with an experienced attorney. Consulting an attorney can help you determine if you have a claim, navigate the complexities of litigation, and maximize your potential compensation.

Join a free California wage & hour class action lawsuit investigation

If you were forced to work off the clock or without overtime pay within the past 3 years in California, you have rights – and you don’t have to take on the company alone.

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