Understanding Overtime Laws in Maryland
Failure to pay appropriate wages to employees can get an employer in some serious legal trouble. In general, wage determinations are fairly straightforward. However, there are exceptions and exemptions that can complicate matters significantly.
For example, not all employees are eligible for overtime pay. If there is any confusion about whether an employee should receive overtime, it can be crucial to consult an attorney before a dispute snowballs into litigation.
Employers should know that, generally speaking, hourly workers are eligible to receive time-and-a-half if they work for more than 40 hours in a calendar week. And, again in general, salaried employees who are executive, administrative or professional employees are not eligible for overtime pay.
But there are many exceptions that can be made, according to the Maryland Department of Labor, Licensing and Regulation. For instance, if a salaried employee in one of the above-mentioned categories makes less than $455 per week, he or she may be eligible for overtime. If an employee does not fit into one of those categories but is still salaried, he or she may entitled to overtime. Additionally, certain industries have different laws that govern whether and when workers may receive overtime.
Employers who do not fully understand their obligation to pay overtime can end up making some significant mistakes in compensating employees. Whether a mistake is intentional or not, there can be serious consequences for unpaid overtime. Rather than try to resolve overtime issues alone, employers can speak with an attorney to better understand their rights. It can also be a good idea for employers to discuss and assess a company's wage structures with an employment law attorney before a dispute ever comes up in the first place.