Phase 1 of 3 · Legal Hygiene
Fair Labor Standards Act
The federal statute that sets minimum pay, overtime after forty hours, recordkeeping duties, and the limits on what work a young person may do.
Count the hours first and prove the exemption second.
In plain English
Covered nonexempt employees must receive minimum wage and overtime after forty hours in a workweek, with accurate records of compensable time.
- What it looks like in business
- An owner titles someone manager and pays a salary, then a consultant checks duties and salary tests before treating the role as exempt.
- Why it matters
- Job titles and salary alone do not create an exemption, and small recurring time errors can produce large group claims.
Reading it once is not the same as knowing it. Put this term in the daily rotation and let the quiz come back for it.
Study this termWhere this comes from
This is HR guidance, not legal advice, and rules change. Check the current text and your own facts before you act on it. When a situation needs a lawyer, Jennifer will say so.
Where it sits
Phase 1: Legal Hygiene
Stay legal without becoming a lawyer: the Texas and federal rules that still apply when the owner is the HR department.