New York Employment Lawyer Blog

Not everyone is entitled to overtime pay in New York.  There is a notion that certain high level and well paid employees should not be entitled to overtime pay.  In order to effect this goal, the overtime pay laws have carved out certain "exemptions."

The Executive Exemption

In order to fall within the executive exemption, an employee must meet each criterion listed below.  If they do not meet one of the elements, then they are not exempt and they are entitled to overtime pay.

(1) The employee must be paid on a salary basis at a rate not less than $455 per week or $23,660 per year;

(2) The employee’s primary duty must be managing the company or a department or subdivision within the company;

(3) The employee must regularly supervise two or more full-time employees or an equivalent group of part-time employees; and

(4) The employee must have the authority to hire or fire other employees, or the employee’s suggestions and recommendations as to the hiring, firing, advancement, promotion or any other change of status of other employees must be given particular weight.

If an employee meets each of the four elements above, then they fall into the executive exemption and they are not entitled to overtime pay in New York.

To summarize, an employee is not entitled to overtime pay in New York if they are paid a salary of at least $455 per week ($23,660 per year), they manage some part of the business like a department or a store, they supervise at least two full time employees and they can hire and fire people or have input into the process.

Be aware that many companies give employees false titles like "assistant manager" and pay them a salary in order to trick the person out of overtime pay.  Do not be fooled by your job title because titles do not matter.   All that matters are the 4 elements listed above.  If you don't meet each one of those elements, then you are entitled to overtime pay in New York even if you have a manager's title.

If you have any questions about your right to overtime pay, please give us a call for a free consultation.   We have been helping employees in New York for over ten years and we can help you