What is the Fair Labor Standards Act and what does being “nonexempt” mean?
The Fair Labor Standards Act (FLSA) is the Federal law that sets minimum wage, overtime, record keeping requirements, and child labor standards for all employers. Positions are classified as being either exempt from the FLSA or nonexempt (i.e. covered by the Act) based on criteria outlined in the legislation. For covered nonexempt employees, the FLSA requires employers to pay overtime at a rate of not less than one and one-half times an employee’s regular rate of pay after 40 hours of work in a single workweek. Tulane’s policy is to compensate employees at an overtime rate for all hours worked in excess of the employee’s normal work day or workweek.