Common FLSA violations in the retail industry
The Department of Labor established the Fair Labor Standards Act (FLSA) to ensure workers received the wages they were entitled to. However, there are employers every year who are found in violation of federal labor laws. Whether or not the noncompliance is deliberate, employers can be held responsible for violations and ordered to pay back wages to employees for unpaid work.
Home healthcare workers, childcare providers, maid and housekeepers are the most frequent subjects of FLSA violations, according to Kennedy Hodges Employment Law Attorneys. A survey by the firm revealed 80 percent of retail workers, cashiers and clerks also encounter labor rights violations.
All employees are guaranteed minimum wage and overtime pay (one-and-a-half times the regular pay rate) under the FLSA unless they qualify for an exemption. In the retail industry, some workers may be considered exempt if they can be classified as commissioned employees. To qualify, they must be employed by a retail or service company, earn the equivalent of overtime rates through their commissioned pay for any hours worked beyond 40 in a standard week and more than half of their earnings must be generated by commissioned sales.
The DOL's Wage and Hour Division recommends that retail employers keep accurate and up-to-date payroll records through a timeclock or an alternative tracking system to account for employee attendance.
Home healthcare workers, childcare providers, maid and housekeepers are the most frequent subjects of FLSA violations, according to Kennedy Hodges Employment Law Attorneys. A survey by the firm revealed 80 percent of retail workers, cashiers and clerks also encounter labor rights violations.
All employees are guaranteed minimum wage and overtime pay (one-and-a-half times the regular pay rate) under the FLSA unless they qualify for an exemption. In the retail industry, some workers may be considered exempt if they can be classified as commissioned employees. To qualify, they must be employed by a retail or service company, earn the equivalent of overtime rates through their commissioned pay for any hours worked beyond 40 in a standard week and more than half of their earnings must be generated by commissioned sales.
The DOL's Wage and Hour Division recommends that retail employers keep accurate and up-to-date payroll records through a timeclock or an alternative tracking system to account for employee attendance.
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