Alabama

Labor Compliance Guide

Hours & Pay Regulations

Normal Working Hours

The Fair Labor Standards Act defines the workweek as a fixed and recurring period of 168 hours comprised of seven consecutive 24-hour periods that do not need to coincide with the calendar week. It is adjustable only if the change is designed to be permanent. Each week is considered on its own for purposes of calculating overtime. The hours of two or more weeks may not be averaged.

 

Time spent traveling during normal work hours is considered compensable work time. Time spent in home-to-work travel by an employee in an employer-provided vehicle, or in activities performed by an employee that are incidental to the use of the vehicle for commuting, generally is not “hours worked” and, therefore, does not have to be paid.

Overtime

Alabama has no general provision governing overtime pay, but most employees would be subject to the federal Fair Labor Standards Act, which requires that all nonexempt employees be paid at a rate of one and one-half times their regular rate of pay for all hours worked over 40 in a week.

Annual Leave

Annual Leaves are unpaid leave based on the agreement between employer and employee (FSLA). The Fair Labor Standards Act (FLSA) does not require payment for time not worked, such as vacations or holidays (federal or otherwise). These benefits are generally a matter of agreement between an employer and an employee (or the employee’s representative).

Minimum Wage

Alabama has no minimum wage law. That means eligible employees in Alabama are entitled to the federal minimum wage. The federal minimum wage is currently $7.25 per hour.

Tips & Gratuities

Employers of employees who regularly receive $30 a month or more in tips can claim a tip credit of up to $5.12 an hour; the minimum wage for these employees is $2.13 an hour. If an employee’s hourly average of tips plus wages is less than $7.25 an hour, the employer must make up the difference. If an employer has a tip back arrangement with employees, such that employees are required to give or credit their tips to their employer as gross receipts, these tips cannot be credited under the FLSA and the employees must be paid at least a full minimum wage.

Meal Breaks

Bona-fide meal periods (typically lasting at least 30 minutes) serve a different purpose than coffee or snack breaks and, thus, are not work time and are not compensable. No person 14 or 15 years of age shall be employed for more than five hours continuously without a documented interval of at least 30 minutes for a meal or rest period. Any meal or rest period of fewer than 30 minutes shall not be considered to interrupt a continuous period of work.

Special Leave

Unpaid Leave
Employees may be eligible to take unpaid, job-protected, leave under the Family Medical Leave Act (“FMLA”). Please refer to main United States page for further details on this Federal law.
Funeral Leave

Funeral Leave is based on an agreement between employer and employee.

Jury Duty Leave

Employers must provide employees summoned for jury duty with paid time off in order to serve as jurors. Employees are required to provide their employers with their jury summons the next working day after the employees receive them. An employer may not require an employee to use annual, vacation, unpaid leave, or sick leave for time spent serving as a juror. The employer may be able to deduct wages the employee received for serving as a juror from the employee’s compensation. An employer may not discharge or subject an employee to any adverse employment action due to serving as a juror, provided the employee returns to work following dismissal from jury duty.

Voting Leave

Employees who are registered to vote must be permitted to take the necessary time off from work, up to one hour, to vote in any municipal, county, state or federal primary or general election. Employees must provide reasonable notice to their employers if they require time off to vote. The employer may specify the hours of leave. However, if an employee’s work schedule begins at least two hours after the polls open, or ends at least one hour prior to the polls closing, the employee is not eligible for voting leave.

 

 

Last updated on: September 19th, 2018