The Fair Labor Standards Act (FLSA), administered by the Wage and Hour Division of the Department of Labor, is the branch that monitors and sets the standards for basic minimum wage along with the proper rates and computations for overtime pay. It is also the one that establishes standards for child labor and recordkeeping. The FLSA and its standards are applicable to both the public and private type of employment, part-time and full-time workers, and affect more than 130 million employees.
Employers are required to pay non-exempt employees nothing lower than the basic minimum wage, with overtime pay being one and a half of their regular rate. Overtime pay is usually required for most types of jobs, but there are types of jobs that are exempted from this overtime regulation. Those exempted are generally on the high-level positions, giving it the moniker “white-collar exemptions” and making those that have what is considered “blue-collar jobs” the benefit to avail overtime pay.
FLSA regulations about wage and overtime pay can be very narrow, making it difficult to understand. Many employers and employees are not really aware of their wage and overtime pay rate, and this often lead to overtime and wage disputes. These issues often create discord and disagreements between the employer and the employees, leading many employees to take their overtime wage disputes to court.
Withholding overtime pay is considered a serious violation. This is the reason why many employees who have overtime wage disputes go to court, according to the John Melton Law Firm in Austin. Although the law is generally pro-employee, overtime wage disputes can still favor the employer. Having the right legal representative who is up-to-date regarding information on court hearings is the leading option for securing rights for appropriate wage and overtime pay.