Day Rate Workers
The law requires employers to pay their workers overtime when they work more than 40 hours a week. Many employers attempt to avoid this requirement by paying their employees a day rate. This means that the employees paid a flat sum for a day’s work, no matter how many hours they actually work during that day. When these workers work more than 40 hours a week, the only compensation they receive is the day rate. When they don’t work, they don’t get paid.
Paying workers, a day rate may not be illegal if the employer is also paying the employee overtime compensation when they work more than 40 hours in a week. Unfortunately, this doesn’t happen very often.
Day rates are regularly used by staffing companies, oil and gas companies, and offshore construction companies to avoid tracking hours and paying workers overtime compensation. If you receive a flat sum or a day rate for all of the hours that you work, you may have a claim for unpaid overtime.
The Good Guys have helped tens of thousands of individuals across the country recover their back wages.