Overtime pay in Texas ensures that employees are fairly compensated for hours worked as overtime. Employees in Texas who work more than 40 hours in a 7-day workweek are entitled to receive overtime pay at 1.5 times their regular hourly wage.
For minimum wage workers, this rate stands at $10.88/hr. Employees in the public sector can also earn comp time as overtime pay in Texas.
Since Texas adheres to the regulations set by the FLSA, any employee who classifies as non-exempt is entitled to receive overtime pay. As of July 1, 2024, an employee must earn less than $844 weekly to be considered non-exempt.
No.
Texas does not have any specific regulations for calculating overtime on a daily basis. Overtime is only calculated for hours worked over 40 in a 7-day workweek.
Yes.
According to the FLSA, salaried employees classified as non-exempt are eligible for overtime pay in Texas. Exempt salaried employees can not receive overtime pay.
Following the threshold set by the FLSA, employees who earn a minimum of $844 weekly are exempt from overtime pay. These include executive, administrative, professional employees, certain computer professionals, teachers, lawyers, physicians and outside sales employees.
Yes, there are some occupations in Texas that are not eligible for overtime pay, which are as follows:
- Piece rate pay (paid by unit produced instead of time basis) employees that fall under certain criteria
- Retail or service establishment employees who earn more than half of their income from commissions and whose regular rates are at least one and one-half (1.5) times the minimum wage
- Local electric railway, trolley, or bus carrier employees
- Public agency employees who receive paid time off for working extra hours
- Certain rail and air carrier employees
- Outside buyers of poultry, eggs, cream, or milk in their natural state
- Seamen on any vessel
- Agricultural employees
- Employees who process maple into non-refined sugar or syrup
- Taxicab company drivers
- Motion picture theater employees
No, private-sector employers cannot offer compensatory time off instead of overtime pay. However, public sector employers may offer comp time under certain regulations.
Yes, both part-time and full-time workers are eligible to receive overtime pay in Texas.
Determining the exact number of work hours for a part-time employee is the decision of an employer. But, if a part-time employee works more than 40 hours in a week, they are entitled to receive overtime pay.
A fluctuating workweek is an arrangement where an employee works an irregular number of hours in a week, but is paid a fixed amount of salary.
Under the FLSA, employees who work a fluctuating workweek are eligible for overtime. However, overtime pay is calculated at half (0.5) times the rate of their regular hourly pay.
Yes.
An employer can require their employees to work mandatory overtime in Texas. Refusal to work mandatory overtime can result in disciplinary action leading to termination.
Travel time can be considered in overtime calculations in Texas. However, it is important to note that an employee’s regular commute to and from work does not count as compensable travel time. Travel time is only counted in overtime if it is part of the job, such as site visits or travel abroad.
Yes.
Meal or rest breaks that last for less than 20 minutes are counted as hours worked and are included in overtime calculations. Breaks longer than 20 minutes, where employees may be relieved of their job duties, are not counted as overtime.
Employees in Texas can also be offered sleep breaks.
If an employee’s shift lasts less than 24 hours, a sleep break of any duration counts towards overtime calculations. However, if an employee’s shift lasts for 24 hours or more, an employer can agree to provide an interrupted sleep break of at least 5 hours, which is unpaid. A sleep break lasting less than 5 hours must be paid.
No.
Employees in Texas can not waive their right to overtime. According to the U.S. Department of Labor, it is prohibited for employees to waive their right to overtime. All employees, except exempt employees, qualify for overtime pay.
Public employees have the right to receive comp time instead of overtime pay in Texas. They can receive 1.5 hours of comp time for every hour worked as overtime.
Comp time is given on a time-and-a-half basis with the following exceptions:
- After receiving 240 hours of comp time, a public employee has to be compensated in cash.
- There is a limit of only 480 hours of comp time for public safety personnel (such as police officers or firefighters), after which they must be give overtime pay in cash.
No.
There are no specific regulations that state that hours worked on a holiday count as overtime. If working on a holiday makes your hours exceed 40, then you are eligible to receive overtime.
As the state follows FLSA regulations, you have two years to file an unpaid overtime wage claim. However, if you can provide evidence of your employer willfully violating overtime laws, the statute of limitations will extend to three years
Yes, an employer can be allowed to make deductions from overtime pay, however, these deductions must be in accordance with federal and state law. The employer must ensure the employee’s wage does not fall below minimum wage requirements.
Employers in Texas can face the following penalties for not paying overtime to their employees:
- They can be liable to pay twice the amount of overtime owed to the employee.
- They may also have to pay for their employee’s legal consultation fees and lawsuit charges.
If your employer fails to pay you due overtime wages, you can file a complaint with the U.S. Department of Labor Wage and Hour Division. It is advisable to consult with an attorney regarding overtime violations as penalties may vary based on the severity of the case.