Many of the Walmart employees fall under the non-exempt category of employment and MUST be paid overtime wages according to the guidelines laid out in the Fair Labor Standard Act (FLSA). The FLSA sets the overtime rate for non-exempt employees at time and one-half their standard rate of pay for any time worked over 40 hours in a single week.
The FLSA regulations do not apply to “administrative” or “professional” employees due to exemptions preventing specific categories of employees from receiving overtime pay.
Exemptions are not based entirely on one’s job title, however. Whether or not an employee should receive overtime pay is calculated by the hours worked, the rate of pay, the job duties, and even the job description.
It’s always a good idea to speak with an attorney with experience in overtime pay laws due to issues with additional state laws governing overtime pay. These laws sometimes overlap federal laws and further complicate or contradict the FLSA.
Founded in in 1962 by Sam Walton, Walmart Inc. (formerly branded as Wal-Mart Stores, Inc.) is an American multinational retail corporation that operates a chain of hypermarkets, discount department stores, and grocery stores. Headquartered in Bentonville, Arkansas, Walmart currently has 11,718 stores in 28 countries. Walmart is the world’s largest private employer, reporting nearly 2.3 million employees on payroll. Additionally, Walmart is the world’s largest company by revenue — approximately $486 billion according to Fortune Global 500 list in 2017. Walmart sells a variety of private-label and in-house, vertically integrated brands that contribute to a cost-effective structure and correlative low price for consumers. With almost a store every 60 square miles (except extremely rural locations), Walmart is a household name, retailing powerhouse, and influential private employer. Integrated in many facets of society and the labor market, Walmart remains in careful watch of the public eye.
Numerous non-exempt Walmart employees may be required to start before their shifts or even work after their shifts finish off the clock. It is not uncommon for employees to work double shifts as well. Because of this, if many Walmart employees exceed 40 working hours in a single week, they should receive overtime pay.
Employers have been known to illegally misclassify positions to avoid paying overtime. For instance, Walmart shift or location managers may have been labeled “managers” with the goal of marking them exempt from overtime pay. However, these employees are in fact non-exempt because of the nature of their job duties.
Often companies label employees as managers even though they do not fill vital roles for the business. The FLSA dictates that “managers” must have specific abilities, for instance, hiring or firing employees, making schedules, or completing other tasks that are essential to the running of the business. Typically these employees do not perform these duties and are instead only labeled as managers for employers to save money by avoiding paying overtime.
Another unlawful practice that the Walmart may perform is having employees clock in before a shift or asking them to stay after a shift without compensating them. This practice of manipulating time cards to keep payroll costs down is a violation of the FLSA and can result in a lawsuit.
How Can a FLSA Lawyer Help You
An experienced lawyer can analyze your case and see if you are entitled to lost overtime wages from Walmart by evaluating how state and federal laws apply to your situation.
Does Walmart Have to Pay Overtime Wages to Employees?
For the most part, Walmart must pay overtime to non-exempt employees who work more than 40 hours in a week as long as they are not excluded by the FLSA. However, these exemptions become more complicated by some states that have additional laws governing them.
If you feel like you have been denied overtime wages, then it is in your best interest to consult an attorney with FLSA experience and knowledge of state overtime laws.
Are There Other Overtime Pay Lawsuits Involving Walmart?
Here are a few examples from the many previous lawsuits that have been issued against other employers for failing to pay overtime wages:
In 2007, Walmart settled a class action suit from 87,000 employees alleging violations of federal and state labor laws by denying overtime pay for $33 million
Justia lists 60+ lawsuits against Walmart related to labor issues
If you feel as though Walmart or any another employer has denied you overtime wages, you could have a case. Please get in touch with the Lemberg Law legal team. Complete our form for a FREE case evaluation, or call 475-277-2200 NOW. Lemberg Law will evaluate your case as see if you are eligible to receive lost overtime wages as a non-exempt employee.
About the Author:
Sergei Lemberg is a lawyer whose practice focuses on consumer law, class actions and personal injury litigation. He has been repeatedly recognized as the “most active consumer attorney” in the country. In 2020, Mr. Lemberg represented Noah Duguid in the United States Supreme Court in the case entitled Duguid v. Facebook. He is the author of Defanging Debt Collectors, a book that teaches consumers how to battle debt collectors and win.
Bridgeton MO Walmart manipulating hourly employee hours to avoid paying overtime.