Employees have specific rights, particularly where pay is concerned. When they’re employed on an hourly basis, they are required to be paid overtime if they work more than 40 hours per week. The only exception to this is if they’re classified as an exempt employee.
Unlike some states, Indiana doesn’t have a daily limit for hours worked when it comes to overtime pay. The only requirement is that the employee is paid 1.5 times their normal hourly rate if they work more than 40 hours in a single work week.
What’s considered a work week?
Employers can specify what constitutes a work week; however, these weeks must all start on the same day and include seven calendar days. Employers can’t shift the day of the week that the work week starts.
How is overtime calculated?
Overtime is based on a rate of at least 1.5 times the employee’s normal hourly rate. This doesn’t take commission or similar factors into consideration. If an employee works multiple positions that are paid at different rates, the overtime rate that applies is based on what job the employee clocks in under for the hours over 40 for the week.
Employees who are due for overtime should watch their paycheck stubs closely to ensure they get paid for the time they worked. If the appropriate pay isn’t provided, the employee may opt to take legal action against the employer. Working with someone familiar with these matters may be beneficial, so the employees can ensure their right to receive their proper compensation is upheld.
