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Paid a Day Rate? You May Be Owed Overtime

If you're paid a day rate and work over 40 hours per week, you're entitled to overtime pay

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Understanding Day Rate Overtime Violations

Many employers pay workers a fixed "day rate" - a set amount for each day worked regardless of how many hours they actually work. While day rate pay is legal, employers still must pay overtime when you work more than 40 hours per week. Unfortunately, many employers illegally fail to pay this required overtime compensation.

โš ๏ธ Important: Day Rate Does NOT Eliminate Overtime Rights

Just because you're paid by the day doesn't mean you lose your right to overtime pay. Federal law (the Fair Labor Standards Act) requires overtime compensation for all non-exempt employees who work over 40 hours per week - regardless of whether they're paid hourly, daily, or weekly.

How Day Rate Overtime Should Be Calculated

The Department of Labor requires a specific calculation method for day rate workers:

  1. Calculate your regular hourly rate: Divide your total weekly pay by total hours worked
  2. Determine overtime hours: Any hours over 40 per week
  3. Calculate overtime premium: Regular rate ร— 0.5 ร— overtime hours
  4. Total compensation due: Day rate pay + overtime premium

Example 1: Construction Worker

Day rate: $200/day
Days worked: 5 days
Hours worked: 50 hours/week

Weekly pay: $200 ร— 5 = $1,000
Regular rate: $1,000 รท 50 = $20/hour
Overtime owed: 10 hours ร— $10 = $100
Total owed: $1,000 + $100 = $1,100

Example 2: Oil Field Worker

Day rate: $300/day
Days worked: 6 days
Hours worked: 72 hours/week

Weekly pay: $300 ร— 6 = $1,800
Regular rate: $1,800 รท 72 = $25/hour
Overtime owed: 32 hours ร— $12.50 = $400
Total owed: $1,800 + $400 = $2,200

Example 3: Pipeline Inspector

Day rate: $400/day
Days worked: 6 days
Hours worked: 60 hours/week

Weekly pay: $400 ร— 6 = $2,400
Regular rate: $2,400 รท 60 = $40/hour
Overtime owed: 20 hours ร— $20 = $400
Total owed: $2,400 + $400 = $2,800

The Bottom Line

If you're paid a day rate but work more than 40 hours per week, you're entitled to additional overtime compensation equal to half your regular hourly rate for every overtime hour worked. Many day rate workers are owed thousands in unpaid overtime wages.

Common Day Rate Violations

No Overtime Payment

Employer pays only the day rate regardless of hours worked, claiming "day rate covers everything." This violates federal law when workers exceed 40 hours per week.

Incorrect Rate Calculation

Employer fails to properly calculate the regular hourly rate by dividing total compensation by total hours worked, leading to underpayment of overtime.

Flat Rate Misunderstanding

Employer treats day rate as a "flat rate" that covers unlimited hours, which is illegal under the FLSA for non-exempt employees.

Long Workday Exploitation

Employer schedules extremely long workdays (12-16 hours) while paying only the day rate, knowing workers will exceed 40 hours per week.

High-Risk Industries for Day Rate Violations

Construction

Laborers, electricians, plumbers, and contractors often paid day rates for long project days

Oil & Gas

Field workers, rig hands, mud engineers, and technicians working extended shifts on day rate pay

Entertainment

Film crews, stagehands, and production assistants working long days on shoots

Landscaping

Crew workers paid per day regardless of actual hours worked on job sites

Transportation

Drivers and logistics workers paid day rates for routes exceeding 8 hours

Manufacturing

Production workers and technicians on day rate pay during busy seasons

Day Rate Overtime Calculator

Calculate your potential overtime claim if you're paid a day rate.

Your Potential Recovery:

Disclaimer: This is an estimate only. Actual recoveries depend on specific case facts. Past results do not guarantee future outcomes. Consult with an attorney for legal advice.

When Day Rate Pay is Legal vs. Illegal

โœ… Legal Day Rate Arrangements

โŒ Illegal Day Rate Arrangements

How Much Could You Be Owed?

Day rate overtime violations can result in substantial recoveries because workers often put in very long hours. Under federal law, you may recover:

Special Considerations for Day Rate Workers

Minimum Wage Compliance

Day rate pay must also comply with minimum wage laws. If your day rate divided by total hours worked results in less than minimum wage, your employer owes additional compensation.

Record Keeping Requirements

Employers must maintain accurate time records for day rate employees just like any other workers. If your employer doesn't track your hours, this itself may be a violation.

Travel Time and On-Call Pay

For day rate workers, travel time between job sites and on-call time may be compensable and count toward overtime calculations.

Employer Defenses and Why They Usually Fail

"We agreed to a day rate"

Why it fails: You cannot waive your right to overtime pay under federal law. Any agreement attempting to waive overtime rights is invalid.

"The day rate is high enough to cover overtime"

Why it fails: The law requires specific calculation methods. Employers can't just claim the day rate "includes" overtime without proper mathematical justification.

"Workers are independent contractors"

Why it fails: True independent contractor status requires control over how, when, and where work is performed. Most day rate workers are actually employees.

Time Limits for Day Rate Claims

Don't delay filing your claim. Federal law has strict deadlines:

โฐ Time Limits Apply - Don't Wait!

Federal FLSA: 2 years (3 years for willful violations)

Texas Payday Law: Only 180 days to file a claim

Florida Wage Claims: Varies by claim type

Every day you delay could mean lost wages you can't recover. Call now to protect your rights!

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If you're paid a day rate and work over 40 hours per week, you may be entitled to significant overtime pay. Our experienced attorneys have recovered millions for day rate workers.

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