What Are The California Labor Laws Regarding Overtime?

While many companies treat their workers with dignity, unfortunately, there are some that do not. Employees are sometimes exploited and paid less than they deserve, but understanding California labor law regarding overtime will ensure that you’re always fairly compensated.

How Does Overtime Work in the State of California?

Overtime is defined as work rendered that extends beyond a 40-hour work week or more than eight hours within a single workday. Employers are required to pay additional compensation, which is currently 1.5 times a normal wage. There are also scenarios where an employer might owe twice the employee’s standard pay, which is called double time. California employees collect double time when:

• They work time beyond 8 hours during the 7^th consecutive workday within the workweek
• They work beyond 12 hours within one workday

The laws regarding overtime in the state of California are quite similar to those established under the FLSA, or Fair Labor Standards Act. However, the distinction is that those employed in California actually have additional protections since workday overtime is included along with overtime for the workweek.

How Is the Regular Pay Rate Calculated?

The salary for employees will often differ, even within the same organization. Some might be salaried, while others will get hourly pay or work for commissions, and there are those that obtain piecework compensation.  All these pay structures may require overtime to be rendered. However, the process used for deciding the standard pay rate might differ. To determine the standard pay rate for California overtime, there are a number of methods you can apply:

• Hourly workers: The hourly earnings plus shift differentials and hourly values for non-hourly compensation
• Salaried workers: To determine your annual salary, you’ll have to multiply the monthly earnings by twelve and afterward divide by fifty-two to determine weekly pay. Finally, divide by forty hours.
• Employees are compensated based on commission or whose salary is provided based on the work product pieces that they produce.  The rate earned for creating piecework can be the standard rate, and you can also divide total weekly earnings by your total number of hours worked for that week.

How Are Workweeks and Workdays Defined?

When speaking of overtime, it is important to understand the legal definition of workweek and workday, because they have distinct meanings within California law. The state’s labor code designates the workday as any twenty-four-hour consecutive period scheduled by employers that begins each day at a specific time. However, the beginning of the worker’s shift doesn’t necessarily need to be at the same time as the employee’s workday.

The workweek is designated as any seven-day consecutive period that begins on a set date, which is broken down into seven 24-hour periods, or a period that recurs regularly for a grand total of one hundred and sixty-eight hours. Workers who have eligibility for overtime include exempt employees, independent contractors, and workers that agree with workweek schedules that alternate.  Those that aren’t certain of their overtime status should speak with an attorney.