A: The implementation of the Fair Labor Standards Act (FLSA) was with the expressed purpose of protecting employee rights when it came to wages and hours worked. The act applies outright to companies that maintain employees and have at least $500,000 in annual business volume. However, there are corporations to which these laws apply regardless of the business volume, such as hospitals, care facilities, schools and government agencies.
All hourly based employees must receive at least the federal minimum wage per hour. As of July 24, 2009, the federal minimum wage is $7.25 per hour. The only exception is if the state minimum wage exceeds the federal minimum wage, in which case employers must pay the state minimum. Businesses that have employees who earn tips, such as restaurants, can consider those tips as a contribution to employees' hourly wages, but must still pay their employees at least $2.13 per hour.
The FLSA does not define what constitutes “part-time” or “full-time” work. Rather the act requires that employees be paid time and a half times their hourly rate for each hour worked over forty hours per week.
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