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Working for Free: 6 Ways Employers Get You to Work for Free (Legally)

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In today’s workplace, employees often find themselves putting in extra effort for no extra pay, sometimes unknowingly. Most employees feel less satisfied with their jobs, and 20 percent of employees feel they are not compensated fairly. Unfortunately, companies seem to continue to use people’s time. Some businesses have learned subtle ways to increase productivity without raising wages. Here’s how employers can legally get you to work for free, and what you should be aware of to protect your time and energy.

1. Expectations of Unpaid Overtime

Employers often create a culture where overtime is normalized. While salaried workers are not entitled to overtime pay, even hourly workers may feel compelled to stay late. Subtle nudges such as “team commitment” or “enthusiasm for work” can guilt workers into unpaid work. Some companies avoid logging overtime, especially when jobs are performed off-site. Answering emails or preparing for meetings on your own time can add quiet hours to your week. The law may allow this under certain categories, but your salary remains the same.

“Legal” ways employers can’t do this include unfairly classifying employees, excluding overtime hours, requiring employees to do overtime while not on the clock, using short-time clocks, and denying overtime pay based on job title. 

The Fair Labor Standards Act (FLSA) mandates that nonexempt employees receive overtime pay for hours worked in excess of 40 in a workweek. That means if you put in the hours when you leave the office, you should be compensated accordingly. If not, it can wait until the next business day. If you feel like you have worked overtime and are not being compensated there are a few things you can do, but you will need to act quickly. Here are some actions you can take:

  • File a claim with the US Department of Labor’s Wage and Hour Division (WHD)
  • File a claim with your state labor office
  • File a lawsuit in court

2. Voluntary Training Programs

Some companies require employees to attend training sessions or skill-building seminars during unpaid hours. These programs are often marketed as growth opportunities, making employees feel like a personal investment. Employers avoid legal issues by calling these periods “voluntary” or not related to the immediate performance of the job. However, these “voluntary” programs may have unstated expectations for attendance. Time spent on such activities outside of working hours essentially becomes free labor. It’s legal, but it’s still unpaid work that benefits the employer.

To combat this, you can do a few things. First, suggest that volunteer training take place during regular business hours. If that is not possible, raise the issue with your employer and ask for compensation for your time. Otherwise, your attendance will not be compulsory. Remember, your employer can’t ask you to do any work they don’t pay you for.

3. Classification of Workers

As mentioned above, employers sometimes misclassify workers as independent contractors to bypass certain pay laws such as overtime pay, minimum wage, and other laws. Independent contractors are generally not eligible for overtime, benefits, or minimum wage guarantees. This separation may require employees to bear business expenses such as travel or equipment expenses. Similarly, some employers classify roles as “exempt” from overtime rules, even when they shouldn’t. Employees may end up doing extra work for free under the guise of flexibility. It’s perfectly legal as long as the employer follows the severance guidelines, but the employees are the losers.

4. Time Required for Preparation or Cleaning

Work with the necessary preparation for free, the person sitting at the computer
Image source: 123rf.com

Some jobs require you to do prep work or clean up before and after your official shift. For example, retail workers may be required to set up displays, while restaurant workers may be required to clean up after hours. This time is often unpaid because employers say it is part of the job and not actual “working hours.” Even remote workers can be asked to log in early to test software or set up meetings. These small tasks, when combined, can eat up your personal time. Although legal, these practices are often taken advantage of by workers who don’t feel they deserve compensation for their time.

5. “Optional” After Hours Events

Corporate culture often includes “voluntary” events such as team-building retreats, happy hours, or networking dinners. These events may not be timed but come with a lot of peer pressure to attend. Employees may feel that their absence may be viewed as a lack of commitment to the team or company. While marketed as collaboration opportunities, these events often include work-related discussions. You end up using your free time to foster a work relationship that ultimately benefits the employer. By law, participation is voluntary, but the dynamics of the workplace can make it difficult to say no.

6. Expectation of Presence on the Phone

Many workers, especially in technology or healthcare, are expected to be on call without compensation. Employers may say this availability is built into the role, blurring the line between work and personal life. Employees often answer phone calls, emails, or texts in their spare time, including overtime. Although this expectation is legal, it forces employees to remain tied to their work or absence from work. This can also affect mental health, as it is really hard to quit work. Employers benefit from regular availability without paying extra.

Know Your Rights and Set Limits

Employers have found creative ways to outlaw unpaid work, but it’s important to understand your rights. Being proactive about setting boundaries can help you save time and energy. Start by listing the unpaid duties and review the labor laws that apply to your job classification. If you feel your employer is crossing the line, seek advice from HR or consult with an HR professional. Awareness is key; the more you understand these strategies, the better you can stand up for yourself. Remember, your time has value—don’t give it away.

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