New York Overtime Pay & Minimum Wage Laws

If you are an hourly employee, it is important to understand the laws regarding minimum wage and what you are entitled to under the law. Pursuant to federal and New York State law, the majority of public and private, full-time and part-time employees are entitled to minimum wage and overtime pay. Under federal law, the Fair Labor Standards Act (FLSA) establishes that employers in the private sector, and in federal, state, and local governments, are required to pay “covered”, “non-exempt” employees a minimum wage of no less than $7.25 per hour for up to 40 hours in a workweek. Additionally, employers are required to pay “covered”, “non-exempt” employees overtime compensation equal to one and one-half times their hourly wage for every hour worked over 40 hours in a workweek. The FLSA does not require overtime pay on weekends, holidays, or regular days of rest, unless overtime is worked on such days. Also, there is no limit to the number of hours worked in a workweek.

The New York Minimum Wage Act is similar to the FLSA in that it establishes that New York employees, including most domestic workers, are entitled to a minimum wage of at least $7.25 per hour. However, there are “wage orders” (provisions) covering certain jobs that modify the basic rate, including hospitality, building service, and farming jobs. For example, servers in the restaurant business have a minimum wage of $5.65, plus tips. To see the modifications to the applicable industries, visit the New York Department of Labor website.

For an employee to be “covered” they must work for an enterprise engaged in interstate commerce. In other words, your employer must be in the business of making, producing, handling, selling, or working on goods or materials that have been moved in or produced between states.

However, some “covered” employees are “exempt” from FLSA and New York Minimum Wage Act protections, including, but not limited to: “professionals”; executives and administrators; outside salespersons; taxicab drivers; government employees; part-time babysitters; commissioned employees in retail and service industries; ministers and members of religious orders; volunteers, students, learners, and apprentices working in a non-profit institution; and independent contractors. It is important to determine whether you are “exempt” or “non-exempt” in determining which provisions are applicable.

Employers in violation of the FLSA and New York Minimum Wage Act are subject to civil penalties and can be forced to provide their employees with the money they are owed in addition to attorney fees and court costs. A two-year statute of limitations applies to most actions under FLSA, though the time to act is increased to three years if the employer’s violation was willful, and not simply negligent.

To learn more about the FLSA, visit the United States Department of Labor website. For more information regarding New York labor standards, visit the New York Department of Labor website.

If you believe your employer is not in compliance with federal or state law regarding your hourly or overtime compensation, you may file a complaint against your employer with the local branch of the federal Wage and Hour Division, or contact us to explore your legal options regarding filing a lawsuit. For a confidential consultation, contact us at 212-425-4250 or fill out the form below.