c07s01d02.htm
Fair Labor Standards Act

<P>The primary federal law that affects paying employees is the Fair Labor Standards Act (FLSA). There are seven main aspects to the FLSA that you need to know about and comply with: 

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<LI>which employees are covered by the FLSA 
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	<LI>You as an employer may be subject to the FLSA if your employees are engaged in interstate or foreign commerce <I>and</I> you have gross annual sales of at least $500,000.  In this case, all employees must be classified under the FLSA and treated accordingly.
	<LI>Even if your business enterprise doesn't meet the preceding test, individual employees may be subject to the FLSA.  Employees who either are engaged in interstate or foreign commerce, or who produce goods for transportation in interstate or foreign commerce are subject to the FLSA.  
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<P>The treatment of employees depends on whether they are classified as LINK exempt or nonexempt.  Nonexempt employees are subject to all of the FLSA's mandates, including minimum wage and overtime pay requirements.  
<LI>minimum wage LINK to compensation
<LI>overtime pay LINK to compensation
<LI>child labor 
<LI>equal pay for equal work 
<LI>posting requirements 
<LI>recordkeeping requirements 
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