RALEIGH, N.C. – A new study claims the average North Carolinian worked 1.7 hours of overtime each week in 2022 but didn't get paid for it.

What You Need To Know

  • A new study says North Carolina workers are owed $3.6 billion in unpaid overtime worked in 2022

  • A North Carolina employment lawyer with the North Carolina Justice Center says some salaried workers still qualify for overtime and are misclassified by their employer

  • Learn more about your employment rights by checking out this factsheet from the Department of Labor

In fact, the wages study from law firm Bisnar Chase says, in total, salaried North Carolina workers in the private sector are owed $3.6 billion in unpaid overtime from 2022. That’s based on the median wage, annualized.

To see how the Tar Heel State compares to others, check out the study's map. 

Exempt employees, according to the Fair Labor Standards Act (FLSA), must be paid a salary no less than $35,000 or $684 per week and work in an administrative, professional, executive, computer or outside sales role.

Clermont Ripley, an employment lawyer and co-director of the Worker’s Rights Project of the North Carolina Justice Center, says it’s a common misconception that salaried workers aren’t eligible for overtime pay.

“Unfortunately, it's something we see regularly,” Ripley said. “We see this very common misconception that if you pay someone on a salary that they are never entitled to overtime. And that's actually just not correct.”

“There's tons of other people who are just not paid overtime because of other misconceptions like we've heard recently,” Ripley said.

Ripley says there are exceptions if people have deductions taken from their pay regularly and sometimes workers are misclassified as exempt, when they’re not.

“Even if you do make more than $35,000, the exception might not apply either. It also has to do with the kinds of work you're doing and whether you're truly paid on a salary basis or not,” Ripley explained.

Beyond unpaid labor, the other thing Ripley sees are wages not keeping up with inflation and the cost of living.

“If it (wages) were adjusted for inflation, it would be closer to $60,000 now. The idea behind the salary threshold is to ensure that people who are getting paid off on a salary are still fairly compensated for their overtime hours,” Ripley said.

Ultimately, she recommends employees know their rights.

“Ask questions if you think you're not being paid correctly. You have the right to talk to your coworkers about that …” Ripley said. “You have the right to talk to your employer about it and complain about it if you think you're not being paid correctly.”

To learn more about your employment rights, check out this factsheet from the Department of Labor.