Managers Avoid Costly HR Legal Pitfalls with These Insights
Wage and Hour Compliance
Ensuring compliance with wage and hour laws is another crucial aspect of HR management. The Fair Labor Standards Act (FLSA) sets minimum wage, overtime pay, and record-keeping requirements for employees in the United States. Misclassifying employees as exempt from overtime or failing to pay the correct wages can result in costly lawsuits and back pay settlements. Managers should conduct periodic audits of payroll practices and consult with legal experts to ensure that all compensation practices align with federal and state laws1.