The Fair Labor Standards Act (FLSA)

The Fair Labor Standards Act (FLSA) is a federal law regulated by the United States Department of Labor, Wage and Hour Division. The FLSA affects employees in the private sector and in Federal, State, and local governments, and covers five major areas:

  • Employee Status
  • Child Labor
  • Minimum Wage
  • Overtime Pay
  • Record Keeping

Positions may be classified as FLSA nonexempt or FLSA exempt based on salary level, salary basis, and job duties.  The FLSA status of a position is determined by the Human Resources Consultants in Compensation and Position Management.

FLSA nonexempt employees are eligible for overtime compensation and are required to complete weekly time sheets in Kronos. FLSA Subject employees whose regular work schedule is forty hours per week may be eligible for overtime compensation in the form of compensatory time off at time and a half for all hours worked in excess of forty hours.  In rare circumstances, some departments may pay overtime to FLSA Subject employees who are approved to work in excess of forty hours during the 168 consecutive hour period that constitutes the workweek. 

FLSA exempt employees are ineligible for overtime pay. FLSA exempt employees (both SHRA and EHRA) are not entitled to hour for hour compensatory time for hours worked in excess of forty weekly. 

The FLSA does not regulate:

  • Vacation, holiday, severance, or sick pay;
  • Meal or rest periods;
  • Premium pay for weekend or holiday work;
  • Pay raises or fringe benefits;
  • A discharge notice, reason for discharge, or immediate payment of final wages to terminated employees; or
  • The number of hours in a day or days in a week an employee may be required or scheduled to work (if the employee is at least 16 years old)

References:

Normal and Variable Schedules for SHRA Staff Employees

Completing and Retaining Employee Weekly Time Records for FLSA Nonexempt Employees

Office of State Human Resources Hours of Work and Overtime Compensation Manual

Accounting for Annual Leave for FLSA Exempt Employees

Department of Labor FLSA Guidance