The rules in Texas
- Overtime after 40 hours in a workweek at 1.5 times your regular rate, under the federal Fair Labor Standards Act (FLSA).
- No daily overtime. A 12-hour shift earns no overtime on its own. Only the weekly total counts.
- No premium for weekends or holidays unless your employer or contract offers one.
- No averaging. Each 7-day workweek stands alone. 50 hours one week and 30 the next is 10 hours of overtime, even on a bi-weekly cheque.
- Comp time is not allowed in place of overtime pay for private employers. Public employers have their own rules.
- The minimum wage in Texas is the federal $7.25 an hour, so the lowest possible overtime rate is $10.88.
Who does not get overtime
Salaried employees who meet the FLSA “white collar” tests (executive, administrative, professional) can be exempt, as can some outside sales, certain transportation and farm workers. Being paid a salary alone does not make you exempt. Most construction, trades, warehouse, retail and restaurant workers paid by the hour are owed overtime.
Worked example
You work three 12-hour shifts and one 8-hour shift at $22 an hour: 44 hours. Under Texas (federal) rules you get 40 × $22 = $880 plus 4 × $33 = $132. Gross: $1,012. In California the same week would pay more, because hours over 8 in a day are overtime there.
Unpaid overtime in Texas
Because overtime is a federal right, unpaid overtime claims go to the US Department of Labor’s Wage and Hour Division, or to court, generally within 2 years (3 if the violation was willful). Unpaid regular wages can also be claimed under the Texas Payday Law with the Texas Workforce Commission, within 180 days of the date the pay was due. Keep your own time card; it is your evidence.
Sources: US Department of Labor: Overtime Pay · Texas Workforce Commission
Questions
Does Texas have daily overtime?
No. Texas follows the federal FLSA, which only requires overtime for hours over 40 in a workweek. Long shifts do not earn overtime unless the weekly total passes 40.
Is holiday pay required in Texas?
No. Private employers in Texas do not have to pay extra for holidays or weekends. It depends on your employer’s policy or contract.
Can my Texas employer give me comp time instead of overtime pay?
Not if you work for a private employer. Hours over 40 must be paid at 1.5 times your regular rate in that pay period. Comp time is only allowed for some public employees.
How long do I have to file for unpaid overtime in Texas?
Generally 2 years under the federal FLSA, or 3 years if the violation was willful. A Texas Payday Law wage claim with the Texas Workforce Commission must be filed within 180 days.