Many of the Wetzel’s Pretzels 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.
What is Wetzel’s Pretzels?
Based in Pasadena, California, Wetzel’s Pretzels is a baked good franchise specializing in, you guessed it; pretzels. As of 2016, the company has 305 locations in 28 states and six countries. Its stores are located in shopping malls, outlet centers, theme parks, select discount retail stores, train stations, and airports. On average, to finance and operate a Wetzel’s Pretzels requires approximately $165,000 to $400,000 in capital with a net worth requirement of nearly a quarter of a million dollars. The company bears a distinctive blue chef transposed upon a yellow background, with a distinctive soft pretzel sigil. In addition to pretzels, the restaurant also serves lemonade and hot dog items. Although on the smaller end, Wetzel’s Pretzels is ranked #268 on the Franchise 500 and therefore well regarded by both pretzel enthusiasts and enterprising franchisees alike.
Can Wetzel’s Pretzels Employees Earn Overtime Wages?
Numerous non-exempt Wetzel’s Pretzels 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 Wetzel’s Pretzels 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, Wetzel’s Pretzels 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 Wetzel’s Pretzels 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 Wetzel’s Pretzels by evaluating how state and federal laws apply to your situation.
Does Wetzel’s Pretzels Have to Pay Overtime Wages to Employees?
For the most part, Wetzel’s Pretzels 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 Wetzel’s Pretzels?
Here are a few examples from the many previous lawsuits that have been issued against other employers for failing to pay overtime wages:
Justia lists at least 3 lawsuits involving Wetzel’s Pretzels related to trademark and franchising disputes
Although not yet a labor dispute, Wetzel’s Pretzel CEO Bill Phelps has criticized raising California minimum wage, indicating that his policy decisions might prove a breeding ground for wage theft
If you feel as though Wetzel’s Pretzels 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 844-685-9200 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 an attorney focusing on consumer law, class actions related to automotive issues, and personal injury litigation. With nearly two decades of experience, his areas of practice include Lemon Law (vehicle defects), Debt Collection Harassment, TCPA (illegal robocalls and texts), Fair Credit Reporting Act, Overtime claims, Personal Injury cases, and Class Actions.
He has consistently been recognized as the nation's "most active consumer attorney." In 2020, Mr. Lemberg represented Noah Duguid before the United States Supreme Court in the landmark case Duguid v. Facebook. He is also the author of "Defanging Debt Collectors," a guide that empowers consumers to fight back against debt collectors and prevail, as well as "Lemon Law 101: The Laws That Lemon Dealers Don't Want You to Know."
