Fair Labor Standards Act

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Definition of 'Fair Labor Standards Act'

The Fair Labor Standards Act (FLSA) is a federal law that sets minimum wage, overtime pay, recordkeeping, and child labor standards. It applies to all employers in the United States, except for those with very few employees.

The FLSA was enacted in 1938 to protect workers from unfair labor practices. It has been amended several times since then, most recently in 2009.

The minimum wage is the lowest hourly wage that an employer can pay an employee. The current federal minimum wage is $7.25 per hour. However, some states and cities have higher minimum wages.

Overtime pay is pay at a higher rate for hours worked beyond 40 in a workweek. The current federal overtime pay rate is time and a half the regular hourly rate. However, some states have higher overtime pay rates.

The FLSA requires employers to keep records of the hours their employees work, as well as their wages and other compensation. These records must be kept for at least three years.

The FLSA also prohibits child labor. Children under the age of 16 are not allowed to work in most jobs. Children ages 16 and 17 are allowed to work, but there are restrictions on the types of jobs they can do and the number of hours they can work.

The FLSA is enforced by the U.S. Department of Labor. If an employer violates the FLSA, the employee may file a complaint with the Department of Labor. The Department of Labor may investigate the complaint and take action against the employer, such as issuing a fine or requiring the employer to pay back wages to the employee.

The FLSA is an important law that protects workers' rights. It ensures that workers are paid a fair wage for their work, that they are not required to work excessive hours, and that they are not exploited by their employers.

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