Possible overtime violations in call center
A national law firm in Dallas, Texas, is conducting investigations into the payroll practices of call centers. In general, the firm, Baron and Budd, has found call centers are often in violation of the Fair Labor Standards Act (FLSA) because of the way they classify sales representatives.
"The worst part is that many people don’t even know that their employer is not paying them all of the money they are owed," said Allen Vaught, head of the firm's FLSA litigation section. "And just because you’re salaried, does not automatically mean that you are not due overtime pay."
Employers sometimes misclassify employees to avoid paying them the wages they are owed. By law, non-exempt employees are guaranteed minimum wage and time-and-a-half for overtime hours worked. Positions considered exempt by the FLSA, on the other hand, are not subject to the same employee benefits.
Before call center employers decide to consider their sales representatives exempt employees, they should make sure the position actually qualifies by FLSA standards. The primary duty of outside sales representatives must be taking orders or making sales, and they must perform the bulk of their job duties off-site. If sales representative don't meet those requirements, they should be compensated with premium rates for any overtime employee attendance.
"The worst part is that many people don’t even know that their employer is not paying them all of the money they are owed," said Allen Vaught, head of the firm's FLSA litigation section. "And just because you’re salaried, does not automatically mean that you are not due overtime pay."
Employers sometimes misclassify employees to avoid paying them the wages they are owed. By law, non-exempt employees are guaranteed minimum wage and time-and-a-half for overtime hours worked. Positions considered exempt by the FLSA, on the other hand, are not subject to the same employee benefits.
Before call center employers decide to consider their sales representatives exempt employees, they should make sure the position actually qualifies by FLSA standards. The primary duty of outside sales representatives must be taking orders or making sales, and they must perform the bulk of their job duties off-site. If sales representative don't meet those requirements, they should be compensated with premium rates for any overtime employee attendance.
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