If an employer claims a tip credit, they can pay up to $3.00 per hour less than the minimum wage to workers who usually and regularly receive tips as long as the tips plus wages are not lower than the minimum wage. The following classes of individuals are not subject to Arizona`s minimum wage: Employers are not required to pay employees for the time they spent responding to a subpoena to appear before a jury, but employers may not require employees to use the available leave to respond to a subpoena to a jury. The federal law that regulates overtime for hourly workers is the Federal Act on Labour Standards. According to the FLSA, workers who work more than forty hours a week and who are not part of a liberated class must receive one and a half times their hourly wage for each hour they work more than forty hours a week. The average of these hours cannot be calculated over a two-week period, and overtime pay must be paid to the employee during his or her regular pay period. Teachers, lawyers and physicians as defined by the RSA and approved by the ASU Human Resources Office are by definition exempt and are not subject to the salary threshold criterion. To be properly appointed as a teacher, an employee must have actual teaching responsibilities, according to the DOL. University teachers and teachers whose main tasks are teaching are exempt from their salary. Non-exempt employees who work more than 40 hours per week to support teaching activities and not to teach are entitled to overtime pay or working time. The RSA specifically covers certain jobs and exempts others from paying overtime.
The following jobs fall specifically under federal overtime pay laws: In addition to allowing employers to use non-discretionary bonuses and incentive payments to reach up to 10% of the wage threshold for exempt workers, the LOL will also allow employers to make catch-up payments to employees who do not earn enough non-discretionary bonuses or incentive payments in a given period of time. of 52 weeks. to maintain the exemption status. provided that the catch-up payment is made within a payment period after the end of the year. Your job is classified as a leadership position if your full-time responsibility is to lead two or more employees. You should not spend more than 20% of your time on other activities (or 40% in a retail environment), and your job should be paid. “The new rule is a compromise, a victory for employers that represents a significant departure from the rule proposed by the Obama administration that would have led companies to pay 33 percent more per week to exempt employees from the minimum wage threshold,” said Gregory W. Seibt, a partner at Blythe Grace.
“While there is always an economic impact, the industries that will feel it most likely will be in retail and manufacturing and others, where workers` annual wages are less than $35,568. In summary, the new rule will require businesses whose employees earn less than $684 per work week to decide whether to give those employees an increase of at least $684 per week or pay them overtime. Arizona does not have pay and hour laws that govern overtime requirements. However, the Fair Labour Standards Act still applies and requires non-exempt workers to receive 1.5 times their normal rate of pay for anyone over 40 hours per work week. If an employee meets an exemption from the overtime requirement under Arizona`s overtime laws, their employer does not have to pay for the overtime. The most common exceptions to overtime pay are generally the following: On January 1, 2018, the minimum wage in the City of Flagstaff increased to $11 per hour. It will rise to $12 in 2019, $13 in 2020, $15 (or $2 above the state minimum wage) in 2021, $15.50 (or $2 above the state minimum wage) in 2022, and then adjusted for the Consumer Price Index. All employers are required to provide paid sick leave to employees. The Arizona Industrial Commission has provided many FAQs, which you can find here. • If the employer decides to reclassify certain employees as non-exempt, it should consider upgrading those workers to an hourly wage in order to better track and calculate overtime. Employers will also want to take steps to ensure that newly released non-exempt employees properly follow their hours of work and follow the company`s time tracking policies and practices.