Compliance Watch:

What are my overtime rights in South Dakota?

Understanding your overtime rights in South Dakota is essential for ensuring that you are fairly compensated for the extra hours you work. In South Dakota, overtime regulations are governed by both state and federal laws. This article provides a comprehensive overview of your overtime rights in South Dakota, including who qualifies for overtime pay, how overtime is calculated, and the steps you can take if your employer fails to pay you properly.

Yes, overtime pay is mandatory in South Dakota. Under the Fair Labor Standards Act (FLSA), which South Dakota adheres to, employers must pay overtime to eligible employees who work more than 40 hours in a workweek. South Dakota does not have its own specific overtime laws, so it follows federal regulations.

In South Dakota, employees qualify for overtime pay when they work more than 40 hours in a single workweek. Certain exemptions apply, including for executive, administrative, and professional employees, and specific industries as outlined under the FLSA.

In South Dakota, employees must be compensated at one and a half times their regular hourly rate for overtime hours. Overtime is calculated based on working more than 40 hours in a single workweek.

Yes, employers in South Dakota must pay overtime to non-exempt employees according to federal laws. South Dakota adheres to the FLSA, which mandates that non-exempt employees be compensated for overtime at one and a half times their regular pay rate for any hours worked beyond 40 in a workweek.

Yes, non-exempt employees in South Dakota can receive overtime pay for hours worked beyond the 40-hour weekly limit even if they did not get prior approval from their employer. While employees are entitled to overtime pay for all hours worked, it is generally expected that they seek prior approval before working overtime. Most employers have policies requiring employees to get approval to manage labor costs and scheduling effectively.

No, South Dakota does not have state laws requiring employers to pay double time for specific hours or days worked. However, employers in South Dakota have the discretion to establish their policies regarding double-time pay. For example, an employer may choose to offer double-time pay for hours worked on holidays, weekends, or during extra-long shifts as an incentive or benefit to their employees. These arrangements are usually outlined in company policies, employee handbooks, or employment contracts.

• Working through meal or rest breaks: Employees might continue working during their legally required breaks without clocking in the time.
• Completing tasks before scheduled shifts: Arriving early to perform duties such as setting up equipment or preparing the workspace.
• Performing post-shift responsibilities: Activities like cleaning up, closing a job site, or completing administrative tasks after the official shift ends.
• Correcting mistakes or redoing projects: Spending additional time outside regular hours to fix errors or rework projects to meet quality standards.

Employers may use various strategies to avoid providing proper compensation to their employees for work that should count as overtime. Common tactics include:

• Requiring Employees to Perform ‘Off-the-Clock’ Work: Employers may assign tasks such as prep work, answering phone calls, or completing post-shift duties outside of regular work hours without compensating the employees. Employers are obligated to document all tasks performed by employees and provide appropriate compensation. Off-the-clock work is illegal and must be paid if the employer knows or should have known about it. This includes tasks completed before the start of a shift, during unpaid breaks, and after the shift has ended.
• Averaging Hours Worked: This tactic involves scheduling employees in a way that balances their hours over multiple weeks. For instance, if an employee works 49 hours one week, the employer might schedule them for only 31 hours the following week, making it appear as though they worked two 40-hour weeks. Under the FLSA, overtime must be calculated every week, not averaged over multiple weeks.
• Providing Comp Time: Employers may offer time off to employees to prevent them from working overtime hours. For example, allowing an employee to take Friday off if they worked a double shift on Thursday. In the private sector, compensatory time off instead of overtime pay is generally not allowed under the FLSA. This practice is only permissible for public sector employees under specific conditions and agreements.
• Misclassifying Workers as Salaried Employees: Employers may misclassify employees as salaried workers to avoid paying overtime rates. Misclassification involves incorrectly categorizing non-exempt employees as exempt salaried employees. To be exempt from overtime, a salaried employee must meet the salary threshold and job duty requirements set by the FLSA.

In South Dakota, there are no state laws that specifically limit the number of consecutive days an employee over the age of 18 can work. This allows employers to schedule employees for seven or more days in a row if necessary. However, employees must receive proper compensation, including overtime pay for hours worked beyond 40 in a week as mandated by the FLSA.

In South Dakota, there is no specific state law defining full-time employment. Instead, full-time hours are typically determined based on federal guidelines, industry standards, and individual employer policies.

• Federal Guidelines: Under the Affordable Care Act (ACA), full-time employment is generally considered to be at least 30 hours per week or 130 hours per month. This guideline is mainly used to determine eligibility for health insurance benefits under the ACA.
• Industry Standards: Full-time hours can vary by industry and employer. While a 40-hour workweek is common, some industries may have different standards. Employers in South Dakota have the discretion to define full-time employment according to their operational needs, provided they comply with federal regulations.
• Employer Policies: Employers may specify their definitions of full-time employment in employee handbooks, contracts, or company policies. These definitions can vary and often determine eligibility for employee benefits such as health insurance, retirement plans, and paid time off. Additionally, full-time employees might receive company-specific perks like tuition reimbursement and wellness programs.

In South Dakota, there is no state-specific law that limits the number of hours an adult employee can work straight in a single day or week. However, certain industry-specific regulations and collective bargaining agreements may impose limits to ensure safety and protect workers’ rights.

Industry-Specific Regulations:

Collective Bargaining Agreements: Employees covered by collective bargaining agreements or specific contracts may have negotiated terms that limit consecutive work hours to protect them from excessive work.

Youth Employment: For minors under 18, South Dakota state law imposes stricter limits on work hours:

In South Dakota, overtime pay is required after 40 hours in a workweek, not after eight hours in a single day. South Dakota follows the Fair Labor Standards Act (FLSA) guidelines, which mandate that non-exempt employees be compensated at one and a half times their regular pay rate for any hours worked beyond 40 in a workweek. There are no state-specific daily overtime rules in South Dakota.

In South Dakota, working on the weekend does not automatically entitle an employee to overtime pay. Employers may, at their discretion, offer premium pay for weekend or holiday work, but this is not a legal requirement.

• Transportation: The Federal Motor Carrier Safety Administration (FMCSA) requires truck drivers to have at least 10 consecutive hours off-duty between shifts to prevent fatigue and ensure road safety.
• Healthcare: Specific guidelines or industry standards often recommend rest periods, although these are typically set by institutions or industry bodies rather than by law.

In South Dakota, “hours worked” encompasses all the time an employee spends performing duties for their employer, whether on or off the premises. This includes tasks performed before and after scheduled shifts if the work is related to job duties and the employer knows or should know about it. Here’s a detailed breakdown of what constitutes ‘hours worked’:

Meal Breaks: If the employee is completely relieved from duty during a meal break (typically 30 minutes), this time is not considered hours worked and is unpaid. However, if the employee is required to stay on the premises or perform any work during the meal break, this time must be considered hours worked and compensated accordingly.

Rest Breaks: Short breaks, typically lasting from five to 20 minutes, are considered part of hours worked and employees must be compensated for them. These breaks are designed to provide brief rest periods to enhance productivity and well-being.

Travel Time:

Training and Meetings:

On-Call Time:

In South Dakota, there are no specific state regulations that impose a maximum limit on the number of hours a salaried employee can work per day or week. However, contractual, industry-specific, and employer policies may impose certain limitations to manage work hours and ensure employee well-being.

In South Dakota, there is no maximum limit on the number of hours an hourly employee can work in a single day or week. However, employers are required to ensure that all overtime hours are properly compensated according to the FLSA.

In South Dakota, overtime pay eligibility is governed by the FLSA. Here are the key criteria for overtime pay eligibility:

1. Hourly Employees: Hourly employees are generally considered non-exempt and must receive overtime pay for any hours worked over 40 in a workweek.
2. Salaried Non-Exempt Employees: Salaried employees who do not meet the criteria for exemption under the FLSA are also eligible for overtime pay. These employees typically perform tasks that do not fall into the executive, administrative, or professional categories. Common examples include manual labor, customer service, clerical tasks, and other similar positions.

1. Salary Threshold: Employees must earn at least $844 per week as of the current threshold. If an employee’s salary falls below this threshold, they are deemed non-exempt and are entitled to overtime pay.
2. Job Position: The employee’s position must be categorized under professional, administrative, or executive roles.
3. Job Duties: The job duties must include the use of independent judgment and discretion. This means the employee must have the authority to make significant decisions, set policies, or manage crucial aspects of the business.

The regular rate of pay refers to the amount an employee earns for each hour worked and must at least meet the minimum wage requirements. Here’s how it applies to different types of employees in South Dakota:

Hourly Employees: The regular rate of pay for hourly employees is their standard hourly wage.

Salaried Employees:

Piecework or Commission Employees:

• Hourly Employees: The regular rate of pay is their standard hourly wage.
• Salaried Employees: Calculate the regular rate by dividing the weekly salary by the standard number of working hours (typically 40).
• Multiple Rates: If an employee works at multiple rates during a single week, calculate the regular rate as the weighted average of those rates by dividing the total earnings by the total hours worked.

Overtime earnings in South Dakota are subject to federal income tax and Federal Insurance Contributions Act (FICA) taxes, which cover Social Security and Medicare. South Dakota does not have a state income tax. Here’s how overtime pay is taxed:

Federal Income Tax: Overtime pay is added to your gross income and taxed at your marginal federal tax rate, which varies based on your total income and filing status. The federal tax rates for 2024 range from 10% to 37% depending on income levels.

FICA Taxes:

Key Points:

In South Dakota, acceptable methods for paying overtime wages are similar to those used for regular wages. Employers are required to pay employees for their overtime work using the following methods:

In South Dakota, overtime pay must be included in the regular paycheck for the pay period during which the overtime was worked. Here are the key points:

Employers in South Dakota who fail to pay overtime wages as required by federal law can face significant penalties. These penalties are designed to enforce compliance and compensate employees for unpaid wages. Here are the potential penalties:

If you believe you are owed overtime pay in South Dakota, you can file a wage claim to recover your unpaid wages. The process involves filing a claim with the South Dakota Department of Labor and Regulation (DLR). Here are the steps to follow:

Step 1: Collect Information and Evidence: Gather as much information and evidence as possible to support your claim. This may include:

Step 2: File a Complaint with the South Dakota Department of Labor and Regulation: You can file a wage claim with the South Dakota Department of Labor and Regulation.

Step 3: Work with a Representative: After you submit your wage claim, a representative from the South Dakota Department of Labor and Regulation will be assigned to your case. They will guide you through the process, help you understand your rights, and determine the most effective course of action. The representative may:

• Termination: Firing the employee for making a wage claim.
• Demotion: Lowering the employee’s job position or title.
• Reduction in Pay: Decreasing the employee’s wages or benefits.
• Unjustified Negative Evaluations: Providing unwarranted poor performance reviews.
• Unwarranted Disciplinary Actions: Issuing baseless disciplinary measures.
• Changes in Job Duties or Schedules: Altering the employee’s responsibilities or work hours to their disadvantage.
• Harassment or Hostile Work Environment: Creating an intimidating, hostile, or offensive work environment.

• Reinstatement: Returning to their previous job position.
• Recovery of Lost Wages and Benefits: Compensation for lost earnings and benefits.
• Compensation for Emotional Distress: Damages for mental anguish caused by the retaliation.
• Liquidated Damages: Additional compensation to penalize the employer and prevent future violations.