- 19-Apr-2025
- Healthcare and Medical Malpractice
Overtime pay is an essential part of compensation for employees who work beyond their regular hours. Under the Fair Labor Standards Act (FLSA) in the U.S., employers are required to pay employees time-and-a-half for any hours worked over 40 in a workweek. However, the question of whether it is legal for an employer to delay these payments can arise in certain situations. While there may be rare cases or misunderstandings about payment timelines, in most circumstances, it is illegal for employers to withhold or delay overtime payments.
The FLSA mandates that employees must be paid their overtime wages on time and within a reasonable period after the work has been performed. The law does not specify an exact time frame for payment, but it generally expects employers to pay employees in the regular payroll cycle. If payment is delayed, the employee can file a complaint with the Department of Labor (DOL).
Employers Are Obligated: Employers are legally required to compensate employees for overtime worked, and failure to do so can result in penalties, including fines and back pay.
While there is no specific law that dictates exactly when an employer must pay overtime, it is widely understood that delaying payment beyond a regular payroll cycle is improper and may be considered a violation of the FLSA. Employees are typically entitled to receive payment on the next scheduled payday.
If overtime is paid on a separate cycle, the delay cannot exceed what is considered reasonable and should be paid as soon as possible.
Wage theft occurs when an employer deliberately or systematically refuses to pay employees for all hours worked, including overtime. In many cases, delayed payments are a form of wage theft, especially if the delay becomes habitual.
Legal Recourse: If an employer delays or refuses to pay overtime, employees have the right to file a wage claim with the Department of Labor or take legal action against the employer. Employees can also seek back pay, including interest and potential penalties for the delay.
If the worker is classified as an independent contractor (not an employee), overtime pay may not apply, as contractors are not subject to the same labor laws.
In some cases, the timing of overtime payments may be outlined in the employee’s contract or agreement. However, any agreement that attempts to delay or withhold overtime pay for longer than is reasonable can still be challenged under labor laws.
Some employers may claim that administrative delays or payroll errors led to delayed payments, but these should be addressed immediately and corrected once identified. Deliberate or ongoing delays are not defensible under labor laws.
Document Your Hours and Pay: Keep a detailed record of the hours you worked, including regular and overtime hours, and the dates you were paid.
Communicate with Your Employer: If overtime payments are delayed, first raise the issue with your employer or payroll department to see if it is an administrative error.
File a Complaint: If the issue persists, you can file a complaint with the Department of Labor (DOL) or your local labor authority to address the unpaid or delayed wages.
Seek Legal Assistance: If necessary, consult with a labor lawyer to understand your rights and the best course of action.
Suppose an employee, John, works 50 hours one week, including 10 hours of overtime. His regular hourly rate is $20, and his overtime rate should be $30 per hour. If John’s employer delays his overtime payment and does not pay him the overtime wages on the next payroll, he has the right to file a complaint with the Department of Labor (DOL).
John worked 10 overtime hours × $30 = $300 in overtime pay.
The employer delays payment, and John has the right to seek this payment, along with any penalties for the delay.
It is generally not legal for an employer to delay overtime payments. Employers must ensure that overtime wages are paid promptly according to the workweek in which they were earned. If there is a delay or non-payment, employees have legal avenues to pursue their right to compensation, including filing a complaint with the relevant labor authority or taking legal action.
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