Protecting your business for unpaid overtime laws

On Behalf of | Nov 1, 2018 | Fair Labor Standards Act (FLSA) |

If you are an employer in the state of Pennsylvania, it is likely that you employ some workers who are eligible for overtime. Workers eligible for overtime are those who are not exempt from the Fair Labor Standards Act (FLSA).

If you, as an employer, do not pay employees what they are legally entitled to, you may face legal sanctions. This is why it is important that you take action to understand how the FLSA protects workers. It is a good idea to understand the law fully and to establish which employees are eligible for overtime.

How do I know if an employee is not exempt?

These employees, in general, are those who do not earn a regular salary, but instead, who are paid for each hour that they work.

What rights do nonexempt employees have?

Being nonexempt from FLSA regulations and rights means that the employee in question should receive at least minimum wage for the first 40 hours that they work in any given week. Any hours that they work in addition to these initial 40 hours should be paid at one and a half times their normal hourly rate.

How can I prevent getting into an unpaid overtime lawsuit?

One of the best ways to prevent unpaid overtime claims from emerging is by being organized with your company records. It is important that all employees are classified correctly and that their worked hours are accurately measured.

Preventing unpaid overtime lawsuits could save your company a great deal of time and money. Therefore, it is a good idea to be proactive in your approach.