What provisions does the FLSA provide for overtime pay?
The Fair Labor Standards Act (FLSA) sets requirements for employers on the payment of overtime wages to employees in North Carolina. This law requires employers to pay their employees one and one-half times their regular rate of pay for any hours worked over 40 in a workweek. For example, if an employee earns $10 an hour, they are entitled to receive $15 an hour for any hours worked over 40 in a workweek. The FLSA also sets out certain exceptions for certain industries, occupations, and employees. For instance, salaried employees earning at least $455 per week (known as the “white collar” exemptions) may be exempt from overtime pay and other FLSA requirements. Additionally, certain industries may be exempt from the overtime provisions of the FLSA, such as farms, leisure activities, and transportation companies. Lastly, the FLSA also addresses certain overtime pay practices that are deemed unlawful, such as when an employer attempts to avoid overtime pay requirements by paying employees in cash or on a day rate basis (as opposed to an hourly rate basis). Employers must also comply with both federal and state laws regarding overtime pay. In North Carolina, employers must pay an overtime rate of 1.5 times the employee’s regular rate for any hours worked over 40 in a workweek. As a result, the FLSA provides clear regulations and provisions regarding the payment of overtime wages to employees in North Carolina. This law ensures that employees receive proper overtime wages for any hours worked over 40 in a workweek, and that employers comply with both federal and state laws.
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