The U.S. Department of Labor (DOL) rules governing overtime pay for certain employees is an area that should be reviewed by all flight departments. While these rules are not new, managers must understand how they apply to flight department employees.
Enacted in 1938, the federal Fair Labor Standards Act (FLSA) established for the first time a national minimum wage and required employers to pay an overtime premium for all hours worked over 40 hours in a single workweek.
The FLSA imposes two basic requirements on employers. First, it requires covered employers to keep accurate records of non-exempt employees’ time and pay employees at least the federal minimum wage for all hours worked. Second, the FLSA requires covered employers to pay non-exempt employees an overtime premium pay of time-and-one-half the regular rate of pay for all hours worked over 40 hours in a single workweek.
The FLSA, however, provides exemptions to the overtime pay requirement for certain types of jobs. Employers are not required to keep records for exempt employees, and exempt employees are not entitled to receive overtime pay. Non-exempt employees must be paid overtime as required by the FLSA.
To help NBAA members understand the applicability of these regulations and the DOL’s policy and interpretation, the NBAA Employment Issues Working Group and Corporate Aviation Management Committee created this member resource.