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FLSA

Know the Rules on Classifying Employees

The Fair Labor Standards Act (FLSA) sets guidelines for whether an employee is exempt or nonexempt under federal law. Exempt means that the employee is excluded from the Act’s overtime pay provisions and therefore does not have to be paid overtime for work hours exceeding 40 hours in a week.

Why Unauthorized Overtime is Bad for Business

If you did not give an employee permission to work overtime but he or she does so anyway, under the Fair Labor Standards Act (FLSA), you must pay the employee overtime wages.

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