Fair Labor Standards Act FLSA

1
Fair Labor Standards Act (FLSA)

• Major Components
• Applies to nearly all private public sector
  employers engaged in interstate commerce and
  have 2 or more employees.
• Enforced by Wage Hour Division of USDOL
• Exemptions religious organizations, mom--pop
  businesses, nonprofit orgs. Not having a business
  purpose, seasonal recreational establishments.
• If state law is more strict than federal, state
  law supersedes.

2
Compensable Time

• If the employee is serving the interests of the
  employer, it is considered time worked under the
  act.
• Immaterial whether the work was requested by
  employer or authorized as long as it was
  performed or employer had reason to believe that
  the work was being performed.

3
Issues

• Meal Periods the act does not require payment
  for meal periods when employees are serving their
  own interests.
• Break time if less than 20 minutes, generally
  compensable under DOL interpretations.
• Waiting time must distinguish between waiting
  to go to work and being engaged to wait to go to
  work.
• Employees working at home independent
  contractors?

4
Controlling Overtime

• Exempt vs. Nonexempt Status
• Specific exemptions outside salespersons,
  professional, executive, and administrative
• The Salary Tests - Duties Test
• http//www.dol.gov/esa/regs/compliance/whd/fairp
  ay/main.htm

5
Controlling Overtime Costs

• Compensatory Time-off must be taken during the
  work week.
• Belo fluctuating workweek (FWW)
• http//www.payroll-taxes.com/articles/fluctuatingW
  orkweeks.html
• Use of Independent Contractors
• Computer related occupations Certain
  computer-related occupations system analyst,
  software engineer, programmer for example. Must
  be paid on an hourly basis at a rate not less
  than 27.63 per hour.

6
Plant Closing The WARN Act

• WARN Requires employers who have 100 or more
  employees to give a 60 day notice of a plant
  closing if 50 or more workers at one site are to
  lose their jobs must make up at least 33 of
  the workforce at the site.

7
Unemployment Compensation

• Legislation Social Security Act of 1935
• States prescribe the amount duration of
  benefits 50 of workers wage for 26 weeks.
• Employers are taxed based on each employers
  experience rating
• Issues Misconduct Voluntary Quits -
  Avaialbility

8
Immigration Laws

• IRCA Basic provision
• Illegal for an employer to employ unauthorized
  aliens in the US
• Civil penalties of 250 - 2,000 for each
  unauthorized alien
• Employer verification Form I-9
• Enforcement INS Wage Hour of DOL

9
Legal Requirements for Safety and Health

• Employers must comply with a variety of federal
  and state laws
• Occupational Safety and Health Act OSHA
• Workers Compensation laws
• Child Labor Laws FLSA
• ADA especially record keeping accommodation
  issues

10
Major OSHA Provisions

• General Duty employer has a general duty to
  provide safe and healthy working conditions
  must keep employees informed
• Specific Standards vary by industry
• OSHA Inspections
• Refusing Unsafe Work
• Employees fear is objectively reasonable
• Employee has tried to have the dangerous
  condition corrected
• Using normal procedures to solve the problem has
  not worked

11
Issues

• Work Assignment Reproductive Health United
  Auto Workers v. Johnson Controls, US Supreme
  Court 1991.
• Hazard Communication right to know
• AIDS
• Smoking
• Substance Abuse
• Workplace Aggression (Violence)

12
Issues

• Local Emphasis http//www.osha.gov/dep/local_emp
  hasis_programs.html
• State Partners http//www.osha.gov/fso/osp/index
  .html
• Hazard Communication right to know
  http//www.osha.gov/pls/oshaweb/owadisp.show_docum
  ent?p_tableFACT_SHEETSp_id151
• Workplace Aggression (Violence)
  http//www.osha.gov/SLTC/workplaceviolence/index.h
  tml
• Whistleblower Protection http//www.osha.gov/dep/
  oia/whistleblower/index.html

13
Managing Health Safety Issues at Work

• Wellness Programs typical programs include
  screenings, exercise programs, education
  awareness programs, skills.
• Employee Assistance Programs provide counseling
  and other help to employees having emotional,
  physical, or personal problems.
• Recordkeeping http//www.osha.gov/recordkeeping
  /index.html (Handout).

14
Safety Management

• Effective Safety Management Programs include
• Organizational commitment and responsibility
• Safety policies and discipline
• Safety training and communications
• Safety committees
• Inspection, accident investigation, research
• Evaluation of safety efforts Accountability