The FLSA in plain English: what overtime actually means
By Employment Law Firm Editorial
The Fair Labor Standards Act (FLSA), enacted in 1938, is the federal statute that guarantees minimum wage and overtime pay for most U.S. workers. Under 29 U.S.C. § 207(a), non-exempt employees must be paid one and one-half times their regular rate for hours worked over 40 in a single workweek.
The key phrase is 'workweek.' The FLSA does not require daily overtime — a worker can put in a 12-hour shift and, if the total for the week stays under 40, no federal overtime is owed. Some states (California, Alaska, Nevada, Colorado) add daily overtime rules on top of the federal baseline.
'Regular rate' is not just base hourly pay. It generally includes non-discretionary bonuses, shift differentials, and commissions. Employers who calculate overtime only on base wages often understate what's owed.
Exemptions are narrow and misunderstood. A salaried title alone does not remove overtime protection — the employee must also meet the duties test for one of the recognized exemptions (executive, administrative, professional, outside sales, or certain computer roles).
If your weekly hours exceed 40 and you are paid straight time, or your overtime is calculated only on base pay, you may have a wage claim under the FLSA — with a two- or three-year lookback and, in many cases, liquidated (double) damages.