Can My Employer Refuse to Pay Overtime in Texas? What the Law Says

No. If you're a non-exempt employee in Texas, your employer cannot refuse to pay overtime. Federal law requires employers to pay 1.5 times your regular rate for all hours over 40 in a workweek. Refusing to pay overtime violates the Fair Labor Standards Act (FLSA), regardless of company policy.

However, not all employees are entitled to overtime. Some workers are exempt from overtime requirements if they meet specific salary and job duty tests.

This guide explains when you're entitled to overtime, when employers can require you to work extra hours, and what to do if your employer won't pay properly.

Texas Has No State Overtime Law

All overtime protections in Texas come from federal law—the Fair Labor Standards Act (FLSA).

Texas does not have a separate state overtime statute. This means:

• Federal FLSA rules apply to all Texas workers
• No additional state-level protections beyond federal law
• Texas Workforce Commission doesn't handle overtime claims (only payment timing issues)
• Overtime claims go to the U.S. Department of Labor or federal court

Learn more: Texas Payday Law Explained

Federal FLSA Overtime Requirements

The Basic Rule

Non-exempt employees must receive 1.5x their regular rate for all hours worked over 40 in a workweek.

Key details:

• 1.5x rate = "time and a half" (your hourly rate × 1.5)
• 40 hours per workweek = The threshold (not per day or pay period)
• Workweek = Any fixed 7-day period designated by employer
• All hours worked = Includes prep time, meetings, training, cleanup

Example: You work 48 hours in one week at $15/hour.

• Regular pay: 40 hours × $15 = $600
• Overtime pay: 8 hours × $22.50 (1.5 × $15) = $180
• Total owed: $780

If your employer only pays you $15/hour for all 48 hours ($720 total), they owe you an additional $60 in overtime premium for that week.

No Daily Overtime in Texas

Unlike California and a few other states, Texas does not require daily overtime.

This means:

• Working 12 hours in one day doesn't trigger overtime (unless weekly total exceeds 40)
• You could work four 10-hour days (40 total) with no overtime owed
• Only weekly totals matter

Example:

• Monday: 12 hours
• Tuesday: 12 hours
• Wednesday: 12 hours
• Thursday: 4 hours
• Friday-Sunday: Off
• Total: 40 hours = No overtime owed

If you worked one more hour (41 total), you'd be owed overtime for that 1 hour.

Can Your Employer Require Mandatory Overtime?

Yes. Texas employers can require you to work overtime and can discipline or fire you for refusing.

Texas is an at-will employment state with no restrictions on mandatory overtime (with very limited exceptions for certain healthcare workers and specific industries).

Your employer can:

• Require overtime on short notice
• Make overtime mandatory as a condition of employment
• Discipline or terminate you for refusing mandatory overtime
• Require weekend or holiday work

Your employer must:

• Pay you 1.5x for overtime hours worked (if you're non-exempt)

Example: Your manager tells you Friday afternoon that you must work Saturday (which would put you over 40 hours for the week). You can refuse, but your employer can fire you for refusing. However, if you do work, you must be paid overtime.

Limited Exceptions to Mandatory Overtime

Very few Texas workers are protected from mandatory overtime:

1. Some healthcare workers under certain circumstances (limited protection)
2. Airline and railroad workers (covered by separate federal regulations)
3. Employees with union contracts that limit mandatory overtime (rare in Texas)
4. ADA accommodations (if overtime conflicts with a documented disability accommodation)

For the vast majority of Texas workers, mandatory overtime is legal, but it must be paid at the overtime rate.

When Can Employers NOT Pay Overtime?

Employers can avoid paying overtime only if you meet one of the FLSA exemptions.

Exempt vs. Non-Exempt Employees

Non-exempt employees:

• Entitled to overtime (1.5x for hours over 40)
• Usually paid hourly (but can be salaried)
• Must track hours worked
• Receive overtime pay

Exempt employees:

• NOT entitled to overtime pay
• Usually salaried
• Must meet both salary and duties tests
• Can work 50, 60, 70+ hours with no additional pay

The most common mistake: Employers assume that paying someone a salary automatically makes them exempt. This is false. You must meet both the salary test AND the duties test.

The Salary Test

To be exempt, you must generally earn:

• At least $684 per week ($35,568 per year)
• Paid on a salary basis (fixed amount regardless of hours or quality of work)

If you earn less than $684/week, you're automatically non-exempt and entitled to overtime, regardless of your job duties.

Example: You're a "manager" earning $600/week. You're non-exempt because you don't meet the salary minimum, even if you perform managerial duties.

The Duties Test

Even if you meet the salary threshold, you must also perform exempt job duties. The most common exemptions:

1. Executive Exemption

Requirements:

• Primary duty is managing the business or a department
• Regularly supervises at least 2 full-time employees (or equivalent)
• Has authority to hire/fire or significant input into employment decisions

Example: A restaurant general manager who supervises 10 employees, creates schedules, hires and fires staff, and manages operations is likely exempt.

Not exempt: A "shift supervisor" who coordinates 2-3 employees but has no hiring/firing authority and spends most time doing the same work as subordinates.

2. Administrative Exemption

Requirements:

• Primary duty is office or non-manual work related to business operations
• Exercises discretion and independent judgment on significant matters

Example: An HR manager who develops company policies, makes hiring decisions, and handles employee relations is likely exempt.

Not exempt: An HR assistant who processes payroll following set procedures and has little decision-making authority.

3. Professional Exemption

Requirements:

• Work requires advanced knowledge (intellectual in character)
• Knowledge typically acquired through prolonged specialized education
• Examples: lawyers, doctors, engineers, teachers, accountants (CPAs)

Example: A licensed engineer who designs systems and makes technical decisions is exempt.

Not exempt: An engineering technician who follows designs created by others.

4. Computer Employee Exemption

Requirements:

• Paid at least $684/week salary OR $27.63/hour
• Primary duties involve computer systems analysis, programming, software engineering, or similar skilled work

Not exempt: IT help desk workers, data entry clerks, or employees who primarily use computers but don't design or develop systems.

5. Outside Sales Exemption

Requirements:

• Primary duty is making sales away from employer's place of business
• Regularly works away from employer's location

No salary minimum required for outside sales exemption.

Example: A pharmaceutical sales rep who visits doctors' offices to promote products is likely exempt.

Not exempt: A retail salesperson working in a store.

Common Misclassification Problems

These job titles do NOT automatically make you exempt:

❌ "Manager" or "Supervisor"

• Many "managers" are non-exempt if they don't meet duties tests
• Simply having a managerial title means nothing

❌ "Assistant Manager"

• Often non-exempt, especially in retail and food service
• Usually don't have hiring/firing authority

❌ "Salaried"

• Being paid a salary doesn't make you exempt
• Many salaried employees are entitled to overtime

❌ "Independent Contractor"

• Many workers misclassified as contractors are actually employees
• If you're actually an employee, you're entitled to overtime

Example: You're an "Assistant Manager" at a fast-food restaurant earning $700/week. You spend 90% of your time cooking, cleaning, and taking orders—the same work as hourly employees. You occasionally supervise 2-3 workers but have no hiring/firing authority. You're likely non-exempt and entitled to overtime despite your title and salary.

What to Do If Your Employer Won't Pay Overtime

Step 1: Understand Your Classification

Determine if you're actually exempt:

• Do you meet the $684/week salary minimum?
• Do your job duties match one of the exemption categories?
• Do you spend most of your time on exempt duties, or do you do the same work as hourly employees?

If you're not truly exempt, you're entitled to overtime regardless of what your employer says.

Step 2: Document Your Hours

Keep your own records:

• Write down start and end times daily
• Note meal breaks and any unpaid time
• Track all work, including:
  • Arriving early or staying late
  • Working through lunch
  • Answering emails/calls after hours
  • Attending mandatory meetings or training

Take photos of:

• Timesheets or time clock records
• Work schedules
• Text messages or emails about work hours

Save:

• All paystubs
• Employment contracts or offer letters
• Company policies on overtime
• Any communications about pay or classification

Step 3: Calculate What You're Owed

Use the overtime calculation formula:

• Count weekly hours over 40
• Multiply overtime hours by 1.5x your regular rate
• Subtract what you were actually paid
• Total up multiple weeks

Learn more: Unpaid Overtime Calculator Texas

Step 4: Report to Your Employer (Optional)

You can (but aren't required to):

• Tell your supervisor or HR you believe you're owed overtime
• Put your complaint in writing (email is best)
• Ask for your classification to be reviewed
• Request back payment of unpaid overtime

This may help if:

• Employer made an honest mistake
• You have a good relationship with management
• You want to try resolving it internally first

Skip this step if:

• Employer is hostile or retaliatory
• Pattern of intentional violations
• You prefer to file directly with authorities

Step 5: File a Complaint

U.S. Department of Labor (Wage and Hour Division):

• Website: dol.gov/agencies/whd
• Phone: 1-866-4-USWAGE (1-866-487-9243)
• File online or call to report violations

DOL will investigate:

• Review your employment records
• Interview you and potentially your employer
• Determine if violations occurred
• Can order employer to pay back wages

You can also file a private lawsuit:

• Hire an employment attorney
• Sue directly in federal court
• May recover more through litigation
• FLSA allows recovery of attorney fees from employer

Step 6: Protect Yourself from Retaliation

It's illegal for employers to retaliate against you for:

• Complaining about unpaid overtime
• Filing a wage claim
• Cooperating with DOL investigation
• Discussing wages with coworkers

Retaliation includes:

• Firing you
• Demoting you
• Cutting hours or pay
• Giving bad shifts
• Creating hostile work environment

If retaliated against:

• Document everything (emails, texts, performance reviews, schedule changes)
• Report retaliation to DOL immediately
• You have a separate retaliation claim with additional damages

What You Can Recover

Back Pay

Unpaid overtime wages for all hours worked over 40 per week that weren't paid at 1.5x rate.

Example: You're owed $300/week in unpaid overtime for 2 years (104 weeks).

• Back pay: $300 × 104 = $31,200

Liquidated Damages

Under FLSA, you can recover liquidated damages equal to your back pay—essentially doubling your recovery.

Example continuing from above:

• Back pay: $31,200
• Liquidated damages: $31,200
• Total recovery: $62,400

Employers can avoid liquidated damages only if they prove they acted in "good faith" and had reasonable grounds to believe they weren't violating the law. This is hard to prove.

Attorney Fees and Costs

FLSA requires employers to pay your attorney fees if you win.

This means:

• You can hire an attorney without upfront costs
• Many attorneys work on contingency (percentage of recovery)
• Employer pays your legal fees on top of wages owed

Time Limits

You have 2-3 years to file depending on whether the violation was willful.

• 2 years: Standard deadline
• 3 years: If employer knowingly violated the law (willful)

Learn more: Statute of Limitations Unpaid Wages Texas

Common Employer Excuses (And Why They're Wrong)

"We have a policy against overtime"

Wrong. Company policies cannot override federal law. If you're non-exempt and work over 40 hours, you're owed overtime regardless of company policy.

"You're salaried, so no overtime"

Wrong. Being salaried doesn't automatically make you exempt. You must meet both salary and duties tests. Many salaried employees are entitled to overtime.

"We'll give you comp time instead"

Wrong. Comp time (time off instead of pay) is illegal in private employment. Private employers must pay overtime in wages, not time off.

Some government employers can offer comp time, but private companies cannot.

"You didn't get approval for overtime"

Wrong. If you worked over 40 hours, you're owed overtime whether or not it was approved. The employer can discipline you for working unauthorized hours, but they must still pay you.

"Your job title is manager, so you're exempt"

Wrong. Job titles mean nothing. What matters is what you actually do and whether you meet the duties tests. Many people with "manager" titles are non-exempt.

"We pay you a bonus, so that covers overtime"

Wrong. Bonuses don't replace overtime obligations. In fact, non-discretionary bonuses must be included in calculating your regular rate, potentially increasing overtime owed.

Frequently Asked Questions

Can my employer say "no overtime allowed" and refuse to let me work over 40 hours?

Yes. Employers can limit your hours to 40 per week to avoid paying overtime. They can discipline or fire you for working unauthorized overtime. However, if you do work over 40 hours, they must pay you overtime even if it was unauthorized.

What if I'm paid a day rate (like $200/day)?

Day rate employees are still entitled to overtime if they work over 40 hours per week. Calculate your effective hourly rate by dividing total pay by total hours, then pay overtime at 1.5x that rate for hours over 40.

Can my employer average my hours over two weeks?

No. Overtime is calculated weekly, not bi-weekly or monthly. You can't average 50 hours one week and 30 the next to avoid overtime. The first week has 10 overtime hours, period.

I'm a "manager" who makes $40,000/year. Am I exempt?

Possibly, but probably not. You meet the salary test ($684/week = $35,568/year), but do you meet the duties test? If you spend most of your time doing the same work as hourly employees, you're likely non-exempt despite your title.

What if my employer retaliates against me for asking about overtime?

Retaliation is illegal. Document everything and report it immediately to the Department of Labor. You can recover damages for retaliation separate from your wage claim, including reinstatement, lost wages, and emotional distress compensation.

Can I waive my right to overtime?

No. You cannot sign away your right to overtime pay if you're non-exempt. Overtime requirements are not negotiable. Any agreement to work without overtime is void and unenforceable.

Related Topics

• Texas Wages and Hours Overview
• Unpaid Overtime Calculator Texas
• Statute of Limitations Unpaid Wages Texas
• Texas Payday Law Explained
• Commissioned Employees Overtime Texas

Take Action

If your employer is refusing to pay overtime or has misclassified you as exempt, don't accept it. Federal law is clear: non-exempt employees must receive 1.5x pay for hours over 40 per week.

File a complaint:

• U.S. Department of Labor: dol.gov/agencies/whd or call 1-866-4-USWAGE
• Employment Attorney: For significant claims, consult a lawyer (employer pays attorney fees if you win)

Document your hours, calculate what you're owed, and act within the 2-3 year deadline.

Legal Disclaimer

This article provides general information about overtime requirements under federal law and is not legal advice. Employment law is complex and depends on your specific job duties, pay structure, and circumstances. If you believe you're owed unpaid overtime, consult an employment attorney or contact the U.S. Department of Labor. Filing deadlines are strict—don't delay seeking help.