The FLSA, enacted in 1938, often acts as a barrier to flexible scheduling and compensation practices in the workplace. Workforce demographics and societal pressures have changed dramatically since 1938; unfortunately, the FLSA has not kept pace with these changes. An increase in "non-traditional" jobs and work systems has made it extremely difficult to determine which employees are covered by the law.
With employers and employees increasingly looking for ways to juggle workplace demands with personal needs, it is essential that we modernize the law to allow as much scheduling flexibility as possible. The construction industry, which currently faces a severe shortage of skilled workers, would welcome such flexibility in providing benefits as a way to attract and keep good employees.Read
ABC's Legislative Position on Fair Labor Standards Act
On August 23, 2004, the U.S. Department of Labor (DOL) regulations on Part 541 of the Fair Labor Standards Act (FLSA) (administrative, professional, executive exemptions and otherwise known as the white-collar exemption regulations) went into effect.
The DOL revision of these regulations has been long overdue. Ambiguities, inconsistencies, and inapplicable terms from the current regulations had created great confusion for employers, the courts, and even the Department of Labor, regarding which employees qualify for exemption from the overtime requirements. These regulations had not been updated or revised since the 1940’s and ‘50’s, and, as such, are out of step with today’s modern workplace.
In an effort to prevent DOL from moving forward with these updates, opponents of the business community have launched a campaign of misinformation in both Congress and the media.
In the 109th Congress, both the House and Senate voted on amendments that would have barred DOL from taking any action on the overtime regulations. Thankfully, these confusing amendments were removed during House and Senate conference on different pieces of legislation.
ABC strongly believes that the Department's efforts with regard to overtime security are a necessary and essential step towards modernizing the definition of exempt and non-exempt employees. The final rule clarifies and incorporates appropriate case law into the rule itself, providing workers with a clearer understanding of their rights.
During the 111th Congress, ABC looks forward to working with the U.S. Congress to ensure that FLSA legislation is fair and workable for both the employee and the employer.
The FLSA establishes minimum wage, overtime pay, recordkeeping, and youth employment standards affecting employees in the private sector and in federal, state, and local governments.
U.S. Department of Labor's FLSA Compliance Assistance Page: DOL's resource page for the FLSA.
- Fact Sheets
- Guidance
- Posters
FLSA Overtime Calculator: Designed by DOL to
help employers and employees understand overtime pay rules, the calculator determines overtime pay based on your own data for a sample pay period. The calculator has been updated to reflect the minimum wage increases mandated by the Fair Minimum Wage Act of 2007.