Arkansas has not made sweeping changes to its overtime law in 2025. Still, enforcement guidelines and the current minimum wage of $11.00 per hour (unchanged since January 1, 2021) continue to shape employers’ pay practices.
Since the state largely follows the federal Fair Labor Standards Act (FLSA), most overtime rules remain consistent, with Arkansas adding certain clarifications for public employees and exemptions for smaller employers. Workers and businesses alike should note the thresholds and categories that determine who qualifies for overtime and how compensation is calculated.
The table below summarises the 2025 changes and wage thresholds most relevant to overtime calculations:
| Change Area | 2025 Update / Detail |
| State Minimum Wage | $11.00/hour (effective Jan 1, 2021, under the Arkansas Minimum Wage Act). Generally applies to employers with 4 or more employees. |
| Overtime Threshold | 1.5× regular pay for hours worked over 40 in a workweek, no daily overtime requirement. |
| Agricultural & Seasonal Workers | Some agricultural workers remain exempt depending on farm size, type of work, and FLSA coverage. |
| Public Sector Employees | State and local government workers may receive compensatory time (“comp time”) instead of cash overtime, subject to agreements. |
| Double-time Pay | Arkansas law does not require double-time under any circumstances (e.g., holidays, weekends, or long shifts). |
These updates reaffirm Arkansas’ close alignment with federal law while making clear how exemptions apply at the state level. For most private-sector employees, the key rule remains straightforward: overtime pay kicks in only after 40 hours in a workweek.
Under the Arkansas Minimum Wage and Overtime Act, most employees are entitled to overtime pay at a rate of time-and-one-half (1.5×) their regular hourly rate for hours worked over 40 in a single workweek. This requirement mirrors the FLSA, which sets the national baseline.
Importantly, Arkansas does not mandate daily overtime. Unlike states such as California or Nevada, Arkansas workers do not automatically earn overtime for working more than eight hours in a single day. The only trigger is exceeding the 40-hour workweek.
The Arkansas Department of Labor oversees enforcement, ensuring that employers comply with wage and hour laws. Employees who believe they are owed overtime can file complaints, and employers who fail to comply face penalties including back pay, damages, and interest.
Overtime eligibility depends on employee classification, duties, and pay.
While Arkansas law closely parallels the FLSA, employees should understand how the two frameworks interact. When both apply, the rule that provides greater protection to workers takes precedence.
| Aspect | Federal (FLSA) | Arkansas State Law |
| Overtime Threshold | More than 40 hours in a workweek | More than 40 hours in a workweek |
| Daily Overtime | Not required | Not required |
| Overtime Pay Rate | 1.5× regular rate | 1.5× regular rate |
| Exemptions | Executive, administrative, professional, outside sales, certain computer roles, and agricultural workers | Same as federal, with added detail for public employees and comp time arrangements |
| Double-time Pay | Not mandated | Not mandated |
This alignment simplifies compliance for multi-state employers, but Arkansas’s comp time rules for government workers are a notable state-specific feature.
Not every worker is entitled to overtime under Arkansas law. Common exemptions include:
Employers should be cautious when classifying workers as exempt, as misclassification is one of the most common sources of wage disputes.
Employers in Arkansas must have clear obligations under the wage and hour law, and employees have enforceable right
Coverage Note: Arkansas’s minimum wage law may not cover employers with fewer than four employees but must still comply with the federal minimum wage of $7.25/hour and federal overtime requirements.
When violations occur, employers may face requirements to pay back wages, interest, and in some cases, additional damages. Consistent record-keeping and transparent policies are key to compliance.
Employees must be paid overtime at 1.5× their regular rate for all hours worked beyond 40 in a single workweek.
No. Working more than eight hours in a single day does not automatically trigger overtime unless total hours exceed 40 in a week.
Yes, in some cases. Agricultural workers may be exempt depending on farm size, type of operation, and whether the farm is covered under the FLSA.
State and local government employees can receive compensatory time off instead of overtime pay. This arrangement must comply with Ark. Code § 11-4-211 and be agreed to by the employee.
No. Arkansas does not mandate double-time pay, even for holidays, weekends, or overnight shifts. Only the 1.5× rate applies once an employee exceeds 40 hours in a week.