Keeping up with all of the employment laws you need to comply with as an employer can be overwhelming. There are severe consequences for not understanding and following employment regulations. One of the more comprehensive laws employers need to understand is the Fair Labor Standards Act (FLSA). This act specifies requirements around wages, overtime, and recordkeeping. Here are the most important things for you to know about FLSA as an employer:
Minimum Wage
Minimum wage is the least amount you can pay employees per hour. The federal minimum wage is $7.25, but quite a few states have higher minimum wages set. Employers are expected to follow the higher minimum wage if applicable.
Overtime
Overtime is paid to employees who work more than 40 hours in a week. Overtime pay is paid at one and one-half times the employee’s regular pay rate. Certain employees are exempt from overtime pay. Employers need to know the difference between an exempt and non-exempt employee to stay in compliance for overtime pay.
Hours Worked
Employers are required to keep track of all hours employees work under FLSA. The FLSA also gives some guidelines for what qualifies as time worked. Things like waiting to work, on-call time, rest periods, and more have specific guidelines for recording time and pay under FLSA. For a comprehensive guide to all payroll recordkeeping requirements click the button below to download our FLSA Recordkeeping Requirements Guide.
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Child Labor
FLSA also includes rules for child labor. The child labor laws regulate how many hours and what conditions children are allowed to work in. These rules vary depending on company industry and some states have additional requirements. If you employ minors, make sure you’re up to date on state and federal child labor laws to avoid falling out of compliance.
Staying in compliance is necessary to your company’s success. If you have any more questions about FLSA or general compliance concerns, contact Helpside at humanresources@helpside.com.