Day Rate Overtime: Oilfield Wage Theft

Many oilfield companies have paid and continue to pay their oilfield employees a flat fee, known as a day rate, for each day they work. They pay this day rate regardless of the amount of hours these employees work in the field. All oilfield workers who are paid a day rate are due overtime if they work over 40 hours per week. This remains true even if those oilfield workers obtain a bonus on top of their day rate.

Our law firm is currently representing oilfield workers against industry leaders and small operators that failed to properly pay overtime pursuant to federal law. We currently have oilfield day rate lawsuits and other wage disputes against the following oilfield companies:

  • Schlumberger N.V.
  • Schlumberger Limited
  • Sprint Energy Services, LP
  • Peak Pressure Control, LLC
  • Nine Energy Services, L.L.C.

If your current or former oilfield employer has paid you a day rate (and even a bonus on top of the day rate), your oilfield employer likely owes you a thousands of dollars. Give our attorneys a call at (214) 790-4454 or use the contact form at the bottom of the page for a free consultation regarding your potential day rate overtime suit. If you don’t, you could be burning money.

Day Rate Overtime Law: A Potential $187,200 Overtime Lesson

An oil and gas company pays its field operator a day rate of $250. The field operator typically works six days a week and averages working  72 hours a week for a year. Every paycheck, the field operator receives $1,500. The problem? The oil and gas company has violated day rate overtime law by cheating this day rate oilfield worker out of his time-and-a-half for all hours worked in excess of 40.

How much is the field operator owed? The field operator in the above example is due over $31,200 in unpaid overtime for a year of work. Here’s how we got there:

  1. We get the worker’s “regular rate of pay” by dividing the employee’s weekly pay, $1,500 and dividing it by 40 hours per week. We get that the field operator has a $37.50 regular rate of pay per hour.
  2. Next, we get his overtime rate. We get the field operator’s half-time rate by dividing his $37.50 by 2, providing him with an $18.75 half-time rate.
  3. Next, we multiply that overtime rate of $18.75 x 32 hours of overtime= $600 per week in unpaid overtime.
  4. We then multiply this $600 x 52 weeks (a year)= $31,200

However, if the above field operator filed suit against his former or current employer, he would likely receive $62,400 for the year because the Fair Labor Standards Act typically provides liquidated damages for overtime claims. A worker can recover back due wages for up to three years. In the above scenario, the field operator could have recovered $187,200 if he worked for the company for a full three years!

Day Rate Overtime: Contact Us About Your Oilfield Day Rate Overtime Claim

If you receive a day rate and believe that your oilfield employer has failed to properly pay you overtime, contact our Dallas, Texas overtime attorneys. Our will provide a free consultation to evaluate your claim.  If we decide you have a case, our overtime attorneys will take it on contingency—meaning you won’t owe us a dime unless you recover.

You can our contact our Texas overtime attorneys at (214) 790-4454 or fill out the form below for a free consultation regarding your potential day rate oilfield overtime claim.

Jack Siegel is the Texas Overtime Lawyer responsible for this website.
The Siegel Law Group’s Texas Overtime Attorneys have their principal place of business in Dallas, but serve clients throughout the entire state of Texas, including oilfield workers in West Texas, Midland, the Permian Basin, Odessa and the Eagle Ford shale.