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Freedom251 › Blog › employment law

Are Salaried Technology Workers Entitled to Overtime Pay for 24/7 Work?

By Freedom251 Team · · 9 min read

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Sometimes. Under the federal Fair Labor Standards Act (FLSA), being paid a salary does not by itself remove overtime rights. A covered, nonexempt technology worker generally must receive at least one-and-one-half times the regular rate for hours worked over 40 in a fixed seven-day workweek. A 24/7 availability requirement does not automatically make all 168 hours payable, nor does it automatically make the worker exempt.

The result depends on the worker’s actual primary duties, whether the compensation test is met, which periods were actually worked or required to be on duty, and whether state law provides stronger protection.

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What the federal overtime rule actually requires

The FLSA starts with coverage, not job title. A covered employee who is not properly exempt must be paid the federal minimum wage and overtime at time and one-half the regular rate for every hour worked over 40 in a workweek. The workweek is a fixed, regularly recurring period of 168 consecutive hours—seven 24-hour days—chosen by the employer. Hours cannot be averaged across two or more workweeks to avoid overtime.

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For example, working 50 hours in the employer’s Monday-through-Sunday workweek generally creates 10 overtime hours, even if the employee worked only 30 hours in the following week. A schedule described as “24/7” usually means continuous business coverage or an availability rotation; it does not mean that every hour in the 168-hour period was worked.

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The U.S. Department of Labor (DOL) states in Fact Sheet #64 that “A salary, by itself, does not exempt employees from the minimum wage or from overtime.” Fact Sheet #17E likewise says, “Job titles do not determine exemption status.” Those statements are especially important in technology, where titles such as software engineer, systems administrator, DevOps engineer or IT manager can describe very different work.

When a technology worker can be exempt

An exemption is valid only when every requirement of the applicable exemption is satisfied. For most salaried technology roles, the relevant possibilities are the computer-employee exemption or another white-collar exemption, such as administrative or executive. Each has both a compensation requirement and a duties requirement.

The computer-employee exemption

The computer exemption can cover systems analysts, computer programmers, software engineers and similarly skilled computer workers. The duties test focuses on the work actually performed—regulated computer tasks such as systems analysis, designing or developing computer systems or programs, testing, documentation, or other work requiring comparable advanced computer expertise. A title, degree, or the fact that an employee works with computers is not enough.

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An employee whose primary work is routine help-desk support, following a script, installing equipment, monitoring alerts without discretion, or performing clerical data entry may not satisfy the computer duties test even when the employer calls the role “engineer.” Conversely, a worker with a different title can qualify if the primary duties meet the regulatory standard. The analysis must examine the job in practice, not just the job description.

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Other white-collar exemptions

Some technology workers are evaluated under an administrative, executive or other exemption rather than the computer exemption. Those classifications have their own duties tests. An employee who occasionally makes technical decisions or leads a project is not automatically an exempt executive or administrator; the primary duty and level of discretion must fit the specific rule. An employer cannot combine a salary label with a broad title and skip the duties analysis.

Compensation must also qualify

For the computer-employee exemption, DOL Fact Sheet #17E lists compensation of at least $684 per week on a salary or fee basis, or at least $27.63 per hour under the hourly alternative. The compensation test is separate from the duties test: meeting the pay level does not cure duties that fall outside the exemption, and qualifying duties do not cure compensation below the applicable threshold.

Current federal salary thresholds

The federal threshold has been affected by litigation. The Eastern District of Texas vacated the DOL’s 2024 overtime rule on November 15, 2024. The DOL’s current rulemaking guidance and FAQ state that, for enforcement, it is applying the 2019 levels until the status changes.

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Measure Amount currently identified by DOL guidance Qualification
Standard salary or fee level $684 per week 2019 rule level; $35,568 when annualized, assuming 52 paid weeks
Computer-employee hourly alternative $27.63 per hour Listed in the computer-employee fact sheet; duties requirements still apply
Highly compensated employee threshold $107,432 per year 2019 rule level identified in current DOL enforcement guidance; a highly compensated employee still must satisfy the applicable duties standard

These are federal figures, not a guarantee that a particular worker is exempt. State law may require a higher salary, impose a narrower duties test, or refuse an exemption that federal law would allow. Because agency guidance and litigation can change, check the current DOL materials and the law in the state where the work is performed before relying on a threshold.

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Which parts of a 24/7 schedule count as work?

The FLSA requires payment for all hours worked by a covered, nonexempt employee. DOL guidance generally includes time the employee must be on duty, at the employer’s premises, or at another prescribed workplace. The difficult question in a 24/7 arrangement is whether a period of availability is work time or merely unpaid on-call time.

Active troubleshooting, tickets and interventions

Time spent answering a customer or internal ticket, joining an incident call, logging into a production system, changing code, rebooting equipment, writing a report, or performing any other requested task is work time. If a worker handles several short alerts overnight, each response and the related required follow-up should be recorded rather than treated as “just a few minutes.” The total is added to other work in that workweek.

Required on-duty periods

A worker who must remain at a prescribed location, stay logged into a monitoring console, or be ready to act under conditions that effectively keep the worker on duty may be working even while waiting. Whether a particular standby period is compensable depends on the restrictions and the practical reality of the arrangement.

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Remote on-call availability

Being reachable by phone or pager from home is not automatically compensable for every minute. Relevant facts include the required response time, geographic limits, how often calls occur, whether another person can trade the shift, whether the worker can use the time for personal activities, and whether alerts require an immediate system login or other intervention. A strict “respond within five minutes” rule that repeatedly interrupts personal activities presents a different question from a request to check messages once during a broad window.

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Sleep and uninterrupted personal time

Sleep periods and other time when the worker is free to use the time for personal purposes may be treated differently from active duty. The answer can turn on the length and quality of the uninterrupted period, the employer’s restrictions, and the type of arrangement. The federal materials do not establish a universal rule for every 24/7 rotation, sleep period, alert or remote standby schedule.

A practical way to assess your own situation

  1. Identify the employer’s workweek. Find the fixed seven-day period used for payroll. Do not assume it is Monday through Sunday; an employer may select another recurring seven-day block.
  2. List every task performed in that week. Include scheduled shifts, early logins, late handoffs, incident calls, ticket responses, status messages, required training, meetings and time spent correcting an outage after normal hours.
  3. Separate availability from activity. For each on-call block, record the required response time, location restrictions, alert frequency, whether you could swap the shift, and the actual interventions you made.
  4. Test the exemption by duties. Compare the primary work—not the title—with the computer-employee or another applicable duties test. Routine support and monitoring do not become exempt merely because the employee is called an engineer.
  5. Test compensation separately. Check whether pay meets the applicable federal and state threshold and whether it is paid on the required salary, fee or hourly basis. A shortfall in either the duties or compensation test defeats that exemption.
  6. Check state and local rules. Look at the law where the work is performed, including any state salary threshold, computer-worker rule, daily-overtime rule or stronger on-call standard.
  7. Compare records with pay statements. Estimate the regular rate and the overtime hours for each workweek, then compare the result with payroll records. Keep the calculation factual rather than assuming all availability was compensable.
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Common 24/7 technology scenarios

Scenario Issue that controls What cannot be assumed
Salaried software engineer handles overnight production incidents Whether the worker is properly exempt under the duties and compensation tests; if nonexempt, actual incident-response time counts The title “software engineer” does not settle exemption status
Systems administrator carries a pager and must respond within 10 minutes How the response rule, call frequency and practical restrictions affect the on-call period Every minute of the entire on-call window is not automatically payable
Help-desk employee answers tickets on weekends while paid a salary Whether the employee is covered and nonexempt, and the number of hours worked in that fixed workweek A salary does not waive overtime
Engineer is paid above $684 per week but mainly follows monitoring scripts Whether the primary duties satisfy a computer or another exemption Meeting the salary level alone is insufficient
Employee works 45 hours one week and 35 the next Overtime is calculated separately for each seven-day workweek Short hours in the second week do not erase overtime in the first

Why state law and contracts can change the result

Federal law is a baseline. A state may set a higher salary threshold, define exempt computer work more narrowly, require overtime after a daily limit, or regulate on-call time differently. The controlling law can also depend on where the employee performs the work, not simply where the company is headquartered. Employees working across state lines should identify the law applicable to each location and pay period.

An employment agreement, handbook or on-call policy may promise additional pay, a minimum call-out payment or compensatory time even when the FLSA would not require it. Those contractual promises are separate from the federal exemption analysis. A policy saying “salaried employees are expected to work as needed” does not itself create an exemption or waive statutory overtime rights.

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Records and evidence that matter

Detailed records often determine whether a claim can be evaluated. Keep contemporaneous notes showing the date, start and end time of each intervention, ticket or call; the system or customer affected; the response deadline; and any time spent waiting under a required restriction. Save schedules, pager or alert logs, ticket histories, chat messages, calendar entries, payroll statements and written policies. Do not alter employer records; preserve your own copy lawfully and protect confidential customer or security information.

Also record how the job is actually performed. A job description that says “design and develop systems” is less persuasive if daily work consists almost entirely of scripted monitoring. Conversely, design documents, code reviews, architecture decisions and independent technical analysis can help show the nature of the primary duties. Evidence should cover the representative work period, not an unusually busy single night.

Possible routes when overtime appears unpaid

A worker can seek jurisdiction-specific guidance from the DOL, a state labor agency or a qualified employment attorney. A private action may also be available. The appropriate route depends on the state, the employer’s coverage, the dates involved, the records available and whether other employees have the same issue.

Before contacting an agency or filing a claim, assemble a timeline of workweeks, pay, duties and on-call restrictions. Avoid relying on a single annual salary figure: the analysis is performed week by week, with the regular rate and hours actually worked. Deadlines for claims vary, so delaying while trying to reconstruct years of overnight work can reduce the amount that can be pursued.

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Questions employers and workers should ask

  • What is the exact seven-day workweek used for payroll?
  • Which tasks are the employee’s primary duties, and how much time is spent on routine support versus analysis, design or development?
  • Is the employee paid at or above the applicable federal and state threshold using the required compensation method?
  • What does “on call” require in practice: response time, location, logging in, travel or continuous monitoring?
  • How are brief alerts, handoffs and weekend messages recorded?
  • Does a state rule or written agreement provide more protection than the FLSA?

Bottom line

A salaried technology worker can be entitled to overtime for 24/7 work. Salary and title alone do not decide the issue. First determine whether the actual duties and compensation satisfy a valid exemption; then count the hours actually worked or periods that legally kept the employee on duty in each fixed workweek. Apply the more protective state rule when it differs from federal law, and obtain current jurisdiction-specific advice when the records or on-call restrictions point to a possible wage claim.

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