There has recently been a rise in the number of lawsuits employees are bringing against their employers for unpaid overtime. Some suspect this is the result of the economic recession, during which employers were forced to lay-off workers to make up for declines in consumer spending. At the same time, workers who kept their jobs were forced to pick up the slack of smaller staffs without being paid extra wages.
Under the Fair Labor Standards Act (FLSA), employers are required to pay employees for all of their hours worked. Employers must compensate workers with premium rates (one-and-a-half time their regular wage) for any time spent performing duties in excess of 40 hours during a single workweek. In addition, the Department of Labor guarantees employees receive minimum wage rates.
However, there are a number of benefits the FLSA does not guarantee. Those include:
- pay for vacation, holiday, severance or sick pay
- pay raises of fringe benefits
- premium pay for work on holidays or weekends
- time off for holidays or vacations
- guaranteed meal or rest periods
- a reason for or notice of discharge
- immediate payment for final wages when an employee is terminated
- pay stubs or W-2's.
Employers should be aware of FLSA regulations so they provide workers with the rights they are owed, but don't lose money for incorrectly compensating workers
employee attendance.
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