Ohio: State Overtime Exemptions Changed to Mirror Federal Law

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APPLIES TO

All Employers with OH Employees

EFFECTIVE

July 6, 2022

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SB 47 will align the state’s overtime exemption rules with sections of the federal Fair Labor Standards Act (FLSA). Specifically, the Portal-to-Portal Act, which amended the FLSA, stated that an employer is not required to pay employees overtime wages for regular commuting time, pre or post-work activities, or de minimis time, provided that they occur before employees start or after employees stop their principal work activity. Ohio courts have generally applied the Portal-to-Portal Act to state law, but SB 47 formally makes the rule part of state law.

Notably, the overtime exclusions don’t apply if the employee performs the activity during their regular workday or prescribed hours, at the employer’s specific direction, pursuant to an express contractual obligation, or pursuant to a custom or practice applicable to the activity.

The bill also requires plaintiffs to “opt-in” to join wage and hour lawsuits, eliminating “hybrid” collective/class action lawsuits for Ohio wage and hour claims. Plaintiffs will be required to file their written consent with the court in order to join a lawsuit for state overtime violations.

Action Items

  1. Review the bill here.
  2. Review and have timekeeping and payroll procedures updated for compliance.
  3. Have appropriate personnel trained on applicable requirements.
  4. Subscribers can call our HR On-Call Hotline at (888) 378-2456 for further assistance.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2022 ManagEase