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Virginia employer checklist for compliance with new 2021 laws | Hogan Lovells
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State & Local Employment Law Developments: Q2 2021 | Faegre Drinker Biddle & Reath LLP
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Virginia’s New Overtime Law Threatens Double and Treble Damages For Employers Who Don’t Pay Up Monday, May 10, 2021
Following the flood of employee-friendly legislation during the Virginia General Assembly’s 2020 session, which included a significantly strengthened wage payment law that we previously discussed, the 2021 session resulted in the passage of yet another new wage-related law that employers need to be aware of. This new law – the “Virginia Overtime Wage Act” – goes into effect on July 1, 2021 and will usher in the first overtime pay requirement in Virginia’s history.
The new Virginia overtime law largely mirrors the federal Fair Labor Standards Act’s (FLSA) overtime requirement and its mandate that an employer pay non-exempt employees one and one half times their regular rate of pay for hours worked in excess of 40 in any workweek. The new law relies on similar exemptions, and it also borrows from the FLSA by permitting employees to purs
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On March 30, 2021 Governor Northam signed the “Virginia Overtime Wage Act” into law. This new legislation, which goes into effect on July 1, 2021, continues the Commonwealth’s pro-employee push and will create new wage and hour requirements and legal liability for employers in an area traditionally regulated under federal law.
Calculating the Regular Rate of Pay
The most significant impact of this legislation relates to how employers calculate the “regular rate of pay” for establishing wage and overtime requirements for non-exempt employees who are paid a salary. Under federal and prior-Virginia law, an employee’s regular rate of pay constitutes their hourly rate and any additional compensation received in a workweek. This remains the same under the new law for Virginia employees paid on an hourly basis. The regular rate of pay for employees paid on a salary basis, however, will be calculated as one-forti
As a reminder, a “fast food employee” is any individual working in a fast food establishment whose job duties include at least one of the following: customer service, cooking, food or drink preparation, delivery, security, stocking supplies or equipment, cleaning or routine maintenance. In addition, “fast food establishment” is any establishment in New York serving food or drink items:
Where patrons order or select items and pay before eating and such items may be consumed on the premises, taken out or delivered to the customer’s location;
Which offer limited service;
Which is one of 30 or more establishments
nationally, including:
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