Unpaid Overtime and Misclassification: Know Your Rights
The Fair Labor Standards Act (FLSA) sets the federal floor for wages: 1.5x pay after 40 hours a week for non-exempt workers. Whether you are non-exempt depends on your duties and pay, not your job title. If you were labeled exempt or called a contractor and worked unpaid hours, you may be owed back pay.
Exempt, non-exempt, contractor: what the labels mean
Overtime rights turn on how you are classified. The law looks at what you actually do and how you are paid. Two of these classifications are frequent sources of unpaid wages.
Non-exempt employee
The default under the FLSA. You are owed at least minimum wage for every hour worked and 1.5x your regular rate for hours over 40 in a workweek. Hourly or salaried: both can be non-exempt.
Exempt employee
No overtime required, but only if two tests are met: your actual duties fit an exemption (executive, administrative, professional and a few others) and you earn at least the salary threshold set by the Department of Labor.
Misclassified independent contractor
You are called a contractor, but the employer sets your hours, controls how you work, and your work is central to their business. The label on the contract does not decide it. The working relationship does.
Title-only exemption
You are a salaried "assistant manager" or "supervisor" who spends most shifts doing the same work as the staff. Exemption is about duties, not titles. A management title with non-management duties is a common misclassification.
What the law guarantees non-exempt workers
These protections come from federal law. Your state may add more. None of them depend on what your contract or your job title says.
Overtime at 1.5x after 40 hours
FLSA · federal overtime rule
1.5x your regular rate for every hour over 40 in a workweek, if you are non-exempt
Pay for all hours worked
FLSA · hours worked
Time spent on prep, closing duties, or answering work messages counts, even off the clock
Back pay for unpaid overtime
FLSA · remedies
Recover unpaid wages, often with an equal amount added as liquidated damages
Protection from retaliation
FLSA · anti-retaliation
Your employer cannot fire or punish you for filing a wage complaint
State law protections
State wage laws · check your state
Some states add daily overtime, higher minimum wages, or longer claim periods. Varies by state.
Signs you may be misclassified or underpaid
If any of these describe your job, your classification is worth a closer look. Each one is a common pattern in unpaid wage claims.
You are salaried and were told "salaried means no overtime", with no mention of your duties
You are called an independent contractor, but the company sets your schedule and controls how you work
Your title says manager, but you spend most of your shift doing the same tasks as the people you supervise
You are asked to start work before clocking in or to finish tasks after clocking out
You answer work calls, emails, or messages outside your shift and that time is unpaid
Your recorded hours are rounded down or edited by your employer
You were switched to contractor status while your day-to-day work stayed the same
5 steps to build an unpaid overtime claim
Keep your own time records
Write down your start time, end time, and breaks each day. A notebook or a note on your phone works. Your own consistent record carries weight, especially if your employer's records are missing or wrong.
Save pay stubs and job documents
Keep pay stubs, your offer letter, job description, schedules, and any contractor agreement. Save copies outside work systems before access changes.
Compare your duties with your classification
List what you actually do in a normal week. If your real duties do not match an exemption, or you work like an employee despite a contractor label, you may have a claim.
Raise it with your employer in writing
Some underpayment is a payroll mistake that gets fixed once raised. Ask in writing and keep the reply. If the answer is no, the written record supports your claim.
File a wage complaint
File with the Department of Labor's Wage and Hour Division or your state labor agency. Filing is free and you do not need a lawyer to start. You can also bring a court claim; where and how varies by state.
Common questions about unpaid overtime
Am I owed overtime if I am paid a salary?
Possibly. A salary alone does not make you exempt. Exemption depends on your actual duties and on earning at least the salary threshold set by the Department of Labor. Salaried workers with non-exempt duties are owed overtime.
What is the overtime rate under the FLSA?
1.5 times your regular rate for hours over 40 in a workweek. Some states add daily overtime or other rules. Where state law is more generous, it applies. Check your state.
I am classified as an independent contractor. Can I still claim overtime?
Yes, if you were misclassified. What matters is the working relationship: who controls the work, whose equipment you use, and how central your work is to the business. A contract label does not decide it on its own.
How far back can I claim unpaid overtime?
Federal law generally allows back pay for the past two years, or three if the violation was willful. Some states allow longer. File as early as you can, because older weeks can fall outside the recovery window.
Can my employer fire me for filing a wage complaint?
The FLSA prohibits retaliation for asserting your wage rights. If you are fired or punished for filing, that can be a separate claim on top of the unpaid wages.
Worked hours you were never paid for?
Tell Sidqo how you are paid and what your week looks like. Get a clear read on whether you are non-exempt, what records to gather, and where to file.
This guide is general legal information, not legal advice. Overtime and misclassification rules vary by state. For advice on your specific situation, speak with a licensed attorney in your state.