Introduction to the Fair Labor Standards Act (FLSA)

O VERVIEW OF THE F AIR L ABOR S TANDARDS A CT

S ECTION 1

A. I NTRODUCTION AND S UMMARY OF R EQUIREMENTS

The Fair Labor Standards Act (“FLSA” or “the Act”) was enacted by Congress in 1938 in the midst of the Great Depression. It was intended to protect all covered workers from substandard wages, oppressive working hours, and conditions that were detrimental to the “maintenance of the minimum standard of living necessary for the health, efficiency, and general well-being of workers.” 1 In contrast to laws governing the rights of employees to collectively bargain, the FLSA was designed to give specific minimum protections to individual workers. 2

The following are six key components of the Act:

1. M INIMUM W AGE The first major component of the Act establishes a federal minimum hourly wage. 3 The federal minimum wage has been $7.25 per hour since 2009. 4 2. O VERTIME C OMPENSATION The Act requires employers to pay overtime compensation, at not less than 1½ times the hourly regular rate of pay for all hours worked beyond a specified number (usually forty hours in a seven day workweek). 5 3. R ECORDKEEPING AND P OSTING The FLSA requires every employer to make, keep and preserve employment records of the hours and other conditions and practices of employment. 6 In addition to recordkeeping requirements, the FLSA requires employers to post notices pertaining to the minimum wage and overtime provisions of the Act in a conspicuous place. 7 4. C HILD L ABOR With certain exceptions, 8 the Act prohibits the employment of children under the age of 14. Employment of children between the ages of 14 and 16, and 16 to 18, is subject to Department of Labor (“DOL”) regulations. 9 Employers must maintain certification of age in order to avoid liability for employing minors. 10

5. N O R ETALIATION

As with many federal labor and employment laws, the Act prohibits retaliation against an employee who asserts a claim under the FLSA. 11

Introduction to the Fair Labor Standards Act (FLSA) ©2020 (s) Liebert Cassidy Whitmore 8