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Tuesday, August 12, 2014

What is the FLSA (Fair Labor Standards Act)?

History of the Fair Labor Standards Act

The Fair Labor Standards Act, or FLSA, was first past in 1938 to establish 44 hours as the absolute maximum workweek. One of its primary intentions upon inception was to combat child labor, therefore keeping minors from being legally able to engage in any workforce considered to be oppressive to children and youth. In the process of the act's development, however, minimum wage and the time-and-a-half requirement for overtime pay within applicable job situations became established as this federal law went into effect.

Over the past 76 years since the FLSA was first past, many amendments have been made to it. These have included the specific amount of minimum wage, explanations regarding the types of jobs eligible for the overtime pay set forth within the law, and changes to the maximum legal workweek. Other amendments have been designed to prevent age discrimination, to extend the law's benefits to employees of the U.S. government, and to protect migrant and agricultural laborers.

The Present State of the Fair Labor Standards Act

In addition to the minimum wage, overtime pay, and child labor considerations that have been part of the FLSA since its beginnings, recordkeeping is now an essential aspect of upholding this law. An authorized government-endorsed poster must be displayed including all of the active FLSA requirements for employees to use for quick and easy reference.

As of July 24, 2009 the minimum wage mandated through an amendment to the FLSA is $7.25/hour. Individual states, however are entitled to choose their own rate of minimum wage. Nevertheless, if a particular employee is covered under both the federal and state minimum wage laws, then he or she is required to receive the greater amount between the federal and state minimum wage requirements.

Applicable employees must receive overtime pay for any workweek exceeding 40 hours. The time-and-a-half standard originally set in 1938 remains the minimum legal expectation for overtime pay today. However, there is no longer a limit on how many hours an eligible employee can work within a week, as was the case with the original act's limitation of 44 hours. The FLSA defines working hours as any time an employer requires his or her employees to be at a designated work site or whenever an employee is labeled as on duty through clocking in or other tool through which hours are tracked.

The child labor aspects of the law central to its original purpose are still in tact. The emphasis has shifted, however, with cultural changes over the past several decades. As such, the current weight is placed on the protection of minors' educational needs and the legal requirements therein. For a complete guide to all the current guidelines in place as a result of the FLSA, please click here.

Eligibility Requirements for Applicability of the Fair Labor Standards Act

The FLSA covers all employees engaged in the work of interstate commerce. This includes production, sales, transportation, and other involvement with work related to this manner of business. A company becomes subject to the FLSA when it fits one of three following categories.




  • The company's overall annual income reaches or exceeds $500,000.



  • The business is a hospital, school or other facility primarily purposed in health care or education.



  • The organization operates as an aspect of a larger public entity.



  • It must be realized, however, that some companies are subject to the minimum wage requirements while not themselves an organization covered by the entirety of the FLSA. As such, it is necessary for both employers and employees to be intimately familiar with the specific regulations and exemptions involved in the FLSA as outlined in the "Handy Reference Guide to the Fair Labor Standards Act" linked above.

    Employees defined as domestic service workers are eligible to receive all the benefits of the FLSA if their wages in 2010 were $1,700 or more or if they work eight hours or more each week. Employees who receive tips that exceed $30 per month are exempt from the standard minimum wage. Instead, employers must pay these workers a minimum of $2.13 on top of the tips obtained. Employees under the age of 20 likewise have a different minimum wage according to the FLSA than the general figure, though it is only in effect for the first 90 days of their employment. $4.25 is the minimum legal hourly wage for employees in such circumstances; after the initial 90 days of employment, their wages must increase to the standard $7.25 per hour.

    Legal Services for Violations of the Fair Labor Standards Act

    Employees who have experienced unfair treatment from their employers may work with an overtime attorney to help obtain the justice and compensation to which they are entitled. Vethan Law Firm specializes in representing clients who have been victims of FLSA violations. Vethan's overtime lawyers ensure that clients receive the payment they are entitled to according to the act and its individual implications within the state of Texas. They have significant documented success at combatting the common excuses given by employers for noncompliance to the FLSA. They are experts in every detail of the FLSA, therefore able to guide clients in understanding if they have been treated unfairly according to the act and if so, how to proceed in a manner that will result in the deserved compensation.

    John West is a legal writer in Houston, Texas.