Fair Labor Standards Act and Construction Employees
Pursuant to Congress' power to regulate commerce, the Fair Labor Standards Act (FLSA) was enacted to ensure that employees engaged in interstate commerce or in the production of goods for interstate commerce were provided with labor conditions conducive to their health, efficiency, and general well-being. The FLSA establishes a minimum wage rate, provides for maximum hours and overtime pay, mandates record-keeping, and regulates child labor.
Failure to comply with the FLSA's provisions is unlawful. Additionally, the FLSA prohibits the knowing transport of goods in interstate commerce that were produced in violation of the FLSA's provisions. The FLSA also prohibits the discharge or discrimination of an employee who has filed a complaint, instituted a proceeding, or acted as a witness based on violations of the Act.
A conviction for a violation of the FLSA carries with it a potential fine and jail time. Further, offending employers will be liable to the employee for unpaid minimum wages, unpaid overtime compensation, as well as an additional equal amount for liquidated damages. The recovery of attorneys' fees and costs are also allowed, even if incurred in arbitration. Employers who violate the child labor standards are subject to substantial civil penalties for each employee at issue as well as additional amounts for repeated violations.
Construction enterprises are subject to the FLSA if the amount of business exceeds $ 500,000 annually. Of course, for an employee of such an enterprise to be privy to the FLSA's benefits, the employee must have participated in interstate commerce. This can occur by simply unloading goods that were received from another state or transporting a finished product from one state to another. A construction company's administrative personnel are not covered by the FLSA.
Copyright 2012 LexisNexis, a division of Reed Elsevier Inc.