Are You a Salaried Manager Working More Than 40 Hours Without Overtime?

Being called a “Manager” or “Assistant Manager” – or being paid a salary – does not necessarily mean you are exempt from overtime pay.

Managers in restaurants, retail stores, hospitality businesses, and other workplaces may spend much of their time performing the same hands-on work as hourly employees while regularly working more than 40 hours per week without overtime compensation.

Whether a salaried manager is entitled to overtime can depend on the employee’s actual job duties, authority, and responsibilities – not simply the employee’s title or the fact that the employee receives a salary.

Shake Shack Lawsuit Highlights Manager Overtime Misclassification

A collective action complaint filed on August 17, 2026 against Shake Shack Enterprises, LLC illustrates the type of manager misclassification allegations that can arise under the Fair Labor Standards Act (FLSA). The complaint alleges that the plaintiff worked as a Shake Shack Manager from approximately September 2019 until February 2026.

According to the complaint, Shake Shack allegedly classified salaried Managers and Assistant Managers as exempt from overtime, even though their primary duties consisted of non-exempt work. The complaint alleges that these employees typically worked approximately 45 to 55 hours per week while receiving a salary, but no overtime compensation for hours worked over 40.

The complaint further alleges that Managers and Assistant Managers spent the substantial majority of their working time – approximately 90% or more – performing non-exempt work because of staffing shortages and the need to provide breaks to hourly employees. That work allegedly included running food and drink stations, preparing and serving food, taking orders, assisting guests, and covering staffing shortages.

The lawsuit also alleges that routine tasks were performed under Shake Shack’s predetermined templates, policies, procedures, and operational plans, and that Managers and Assistant Managers did not exercise discretion and independent judgment with respect to matters of significance.

What Does the Shake Shack Complaint Seek?

The complaint seeks to pursue FLSA claims on behalf of a proposed collective of current and former salaried Managers and Assistant Managers employed by Shake Shack Enterprises, LLC anywhere in the United States from August 17, 2023 through the final disposition of the matter. It seeks, among other things, unpaid overtime compensation, liquidated damages, attorneys’ fees, and costs.

Do You Have a Manager Title But Spend Most of Your Time Doing Hourly Work?

Salaried employees with management titles may warrant an overtime review when their actual day-to-day work is primarily non-managerial.

Your circumstances may warrant legal review if, for example:

• You regularly work more than 40 hours per week but do not receive overtime pay;
• You are paid a salary and classified as exempt from overtime;
• You spend much of your workday performing the same hands-on tasks as hourly employees;
• Staffing shortages require you to regularly fill hourly positions or perform frontline work;
• Your hiring, firing, scheduling, disciplinary, or other personnel authority is limited or controlled by corporate policies or senior management; or
• You have a management title but limited discretion or authority to make significant independent decisions.

A Salary or Manager Title Does Not Automatically Determine Overtime Eligibility

Under the FLSA, whether an overtime exemption applies generally depends on the requirements of the particular exemption and the employee’s actual duties and compensation. A job title alone does not establish that an employee is exempt from overtime.

Kehoe Law Firm is investigating potential overtime misclassification of managers and assistant managers. Learn more about manager overtime misclassification and whether your job duties and hours worked may warrant legal review.

Managers and Assistant Managers: Questions About Unpaid Overtime?

If you are or were a salaried Manager or Assistant Manager and regularly worked more than 40 hours per week without overtime pay – particularly if much of your time was spent performing the same work as hourly employees – Kehoe Law Firm, P.C. is available to discuss your circumstances and potential rights.

For a free, no-obligation legal evaluation, send us a message or contact:

Michael Yarnoff, Esq., (215) 792-6676, Ext. 804
[email protected]
[email protected]

About Kehoe Law Firm, P.C.

Kehoe Law Firm, P.C. is a nationally recognized, plaintiff-side class action law firm representing investors and consumers in matters involving securities fraud, corporate misconduct, mergers and acquisitions, antitrust violations, whistleblower claims, data breaches, consumer fraud, employment law violations, and retirement-plan mismanagement. Its attorneys have served as lead or co-lead counsel in major securities cases, recovering more than $10 billion for institutional and individual investors.

Kehoe Law Firm’s class action legal services are provided on a contingency-fee basis, meaning clients are not responsible for attorneys’ fees or litigation expenses. Any request for attorneys’ fees and expenses will be subject to court approval.

PHONE

Tel: 215-792-6676

EMAIL

[email protected]