Unless specifically exempted by statute, all New Jersey employees are entitled to receive time-and-a-half for time worked over and above 40 hours in a week.
Under New Jersey wage and hour laws, some employees may be exempt from receiving time-and-a-half for overtime worked. Generally, exempt employees fall into four categories: Executives, Administrators, Professionals, and Outside Sales.
Executives – may be exempt if they meet certain income requirements, and they meet the following tests:
- Their primary duty is to manage the whole enterprise, or a department; and
- It is their custom to direct at least two employees; and
- They have the authority to hire or fire employees (or provide significant input regarding hiring and firing employees).
Administrators – may be exempt if they meet certain income requirements, and they meet the following tests:
- Their primary duty is to perform office work related to management; and
- They are able to use discretion and judgment in important work-related matters.
Professionals – may be exempt if they qualify as bona fide professionals. For this purpose, professionals fall into two categories: learned professionals and creative professionals.
Outside Sales – may be exempt if sales are their main job function is any of the following:
- Making sales;
- Getting orders or contracts for services or use of facilities; and
- Who are customarily and regularly work away from their employer’s place of business.
Unless exempt, an employee who works over 40 hours is entitled to premium pay. Employers may NOT average an employee’s hours over multiple weeks.
All employers have to post a Department of Labor poster that summarizes overtime laws. If an employee wants a summary of overtime laws, the state will provide a copy, if requested, at no charge.
All employers have to track their employees’ hours and wages. Employers do not have to keep records for exempt employees.
Under New Jersey and/or federal laws, employees who have been denied overtime pay may be entitled to recovery of back pay, liquidated damages, attorney’s fees, and costs.
Our New Jersey wage and hour attorneys have experience litigating claims against employers who have wrongfully denied employees proper overtime benefits. If you believe your employer has failed to pay you in accordance with the law, please call us at (973) 509-8500 to schedule a consultation.