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Job miss-classification?

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Betty Boop

Guest
The labor board went into some of the offices my company has thoughout the United States and found my position had been miss-classified as exempt and should of been non-exempt. My employer has sent me a letter saying that they had done an self audit and came up with a number of hours I had worked overtime and had not been paid for and the amount they are to pay me for retroactive overtime compensation. The dollar payout was calculated by the number of overtime hours given to them by my current manager, who has NOT been my manager during the whole time frame in question. That number was multiplied by the corresponding hourly overtime premium rate(half time) for up to a maximum of 104 weeks. Why is it only the half time? Shouldn't it be time and 1/2? The Fair Labor Standards Act requires that non-exempt employees be paid not less than ONE AND ONE-HALF THEIR REGULAR RATE OF PAY for ALL hours worked in excess of 40 in a workweek. Should't this apply to compensation payout for being miss-classified? When I started in the position it was hourly. After 2 years they changed me to exempt. They said it was because the other person under my title was exempt and I should be exempt too. That was 5 years ago. With this change, I went from 51thousand a year down to 35thousand. The payout is for only 2,106.00. Where is the compensation?? I know they are only responsible for 2 years of compensation if the miss-classification was not intentional and 3 years if it was intentional. The letter has a statement of, "I hereby release any claims I have under the Fair Labor Standards Act for overtime pay from the period 9/4/98 through 8/27/00. HELP!!! Is this legally right? Do I sign the letter?? HELP!!
 



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