A step‐by‐step model for employers to comply with the fairpay overtime initiative under the Fair Labour Standards Act (FLSA) Available to Purchase

Recently, the Department of Labour’s Fairpay Overtime Initiative was enacted to revamp the previous Fair Labour Standards Act (FLSA) rules governing employee overtime benefits. This legislation is a significant departure from the past regulations in determining overtime eligibility. In an effort to clarify these new FLSA guidelines, the authors have prepared a detailed model, outlining the process necessary to establish an employee’s exempt/non‐exempt status. Particular attention is apid to the process of correctly classifying employees by recommending the use of functional job analysis procedures in order to administer the newly created job duties test. Comments are then made about some shortcomings of the legislation and issues for managers to consider.