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Who is covered by the FLSA? Are employee of small businesses covered?

945 viewsOctober 10, 2022Human Resources
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Sam Smith11.38K February 11, 2021 0 Comments

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Blogolu28.38K Posted February 11, 2021 0 Comments

The FLSA establishes minimum wage, overtime pay, recordkeeping, and youth employment standards covering employees in the private sector and in Federal, State, and local governments. Covered nonexempt workers are entitled to a federal minimum wage of not less than $7.25 per hour currently. Overtime pay at a rate not less than one and one-half times the regular rate of pay is required after 40 hours of work in a workweek.

Generally, employees of enterprises that have an annual gross volume of sales made or business done of $500,000 or more are covered by the FLSA. In addition, employees of certain entities are covered by the FLSA regardless of the amount of gross volume of sales or business done. These entities include: hospitals; businesses providing medical or nursing care for residents; schools (whether operated for profit or not for profit); and public agencies.

Even if an employer is not covered on an enterprise-wide basis, employees may be individually covered by the FLSA if their work regularly involves them in commerce between States (“Interstate commerce”). The FLSA covers individual workers who are “engaged in commerce or in the production of goods for commerce.” For more information on enterprise and individual coverage under the FLSA

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