Wage & Hour
Congress passed the Fair Labor Standards Act (the "FLSA")
in the 1930's to (1) provide minimum wage and overtime protections for workers;
(2) prevent unfair competition by businesses that improperly reduce their costs
by paying subminimum wages, and (3) spread employment by requiring employers
whose employees work excessive hours to compensate employees at
one-and-one-half times the regular rate of pay for all hours worked over 40.
Wage and hour violations can be costly mistakes. Violations can result in employers paying the amount of unpaid overtime for the past two to three years, liquidated damages in an amount equal to the amount of unpaid overtime, the employer's and employee's attorneys’ fees, fines, and interest. In some cases, employers may face criminal sanctions, and some individual employees (such as owners and managers) may be held personally liable.
The Department of Labor (the "DOL") provides interpretive guidance regarding, and enforces, the FLSA. You can learn more about the DOL's views on workers who are misclassified as independent contractors rather than employees and about the DOL's effort to increase the number of employees who are classified as non-exempt (entitled to overtime protection) versus exempt (not entitled to overtime protection).
Wage and hour violations can be costly mistakes. Violations can result in employers paying the amount of unpaid overtime for the past two to three years, liquidated damages in an amount equal to the amount of unpaid overtime, the employer's and employee's attorneys’ fees, fines, and interest. In some cases, employers may face criminal sanctions, and some individual employees (such as owners and managers) may be held personally liable.
The Department of Labor (the "DOL") provides interpretive guidance regarding, and enforces, the FLSA. You can learn more about the DOL's views on workers who are misclassified as independent contractors rather than employees and about the DOL's effort to increase the number of employees who are classified as non-exempt (entitled to overtime protection) versus exempt (not entitled to overtime protection).