In terms of US regulations, the main piece of employment legislation to be aware of is the Fair Labor Standards Act (FLSA).
Regarding W-2 employees, there are two key classifications: non-exempt and exempt. Non-exempt employees are subject to FLSA regulations, including overtime pay, while exempt employees are not. However, it is advisable to default to classifying workers as non-exempt to avoid potential risks. Overtime is a significant consideration in the US, as employees who work more than 40 hours a week are entitled to one and a half times their regular pay rate. It is crucial to understand the FLSA guidelines and err on the side of caution to avoid legal complications.
Learn more about worker classification by speaking with the team at www.pgcgroup.com
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