The Fair Labor Standards Act (FLSA) of 1938 is key piece of compensation legislation. Although FLSA has been around for a long time, it is the most frequently violated employment law. Employers misclassify employees as exempt or fail to calculate working time accurate. Misclassifications can result in severe back pay issues. Calculating overtime incorrectly can often result in overpayments or underpayments.
Violations can not only hurt companies financially, but damage reputations as well.
FLSA cases have hit a new record high and continue to rise. A record breaking 8,126 FLSA suits were filed in federal courts in the last year. All in all, there has been an increase of over 400% since the year 2000. Employers have to be conversant with the intricacies of the law to avoid lawsuits.
What is Fair Labor Standards Act (FLSA)?
Fair Labor Standards Act (FLSA) is a federal law which establishes minimum wage, overtime … Read More