Understanding the Fair Labor Standards Act: Key Legal Insights

Definition & Meaning

The Fair Labor Standards Act (FLSA) is a federal law enacted in 1938 that establishes minimum wage, overtime pay, and child labor standards in the United States. It aims to protect workers by ensuring they receive fair compensation for their labor and by regulating the employment of children in various industries. The Act applies to businesses engaged in interstate commerce and includes provisions for public employees, which were added in 1974.

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Real-world examples

Here are a couple of examples of abatement:

Example 1: A retail store must pay its employees at least the federal minimum wage for all hours worked. If an employee works more than 40 hours in a week, they must receive overtime pay at a rate of one and a half times their regular pay.

Example 2: A company hires a 15-year-old to work in a non-hazardous job. Under the FLSA, there are restrictions on the number of hours they can work during school days and the types of jobs they can perform. (hypothetical example)

State-by-state differences

State Minimum Wage Overtime Rules
California $15.50 Overtime after 8 hours in a day
Texas $7.25 Overtime after 40 hours in a week
New York $15.00 Overtime after 40 hours in a week

This is not a complete list. State laws vary, and users should consult local rules for specific guidance.

Comparison with related terms

Term Definition Key Differences
Minimum Wage The lowest legal hourly wage that can be paid to workers. Minimum wage is a component of the FLSA, but the FLSA encompasses broader labor standards.
Overtime Pay Compensation for hours worked beyond the standard workweek. Overtime pay is mandated by the FLSA but may differ by state regulations.
Child Labor Laws Regulations that protect minors from exploitation in the workforce. Child labor laws are part of the FLSA but can also be governed by state-specific laws.

What to do if this term applies to you

If you believe the Fair Labor Standards Act applies to your situation, first review your employment contract and pay stubs to ensure compliance with minimum wage and overtime regulations. If you have concerns, consider using legal forms from US Legal Forms to address wage disputes or to file complaints. For complex issues, it may be beneficial to seek advice from a legal professional.

Quick facts

  • Minimum wage: Varies by state, federal minimum is $7.25
  • Overtime pay: Required for hours over 40 in a workweek
  • Child labor restrictions: Varies by age and job type
  • Recordkeeping: Employers must keep accurate payroll records

Key takeaways