USA Law and Practice Contributed by: Chuck Baldwin, Ken Siepman, Bonnie Martin and Justin Allen, Ogletree Deakins
Ogletree Deakins 300 N Meridian Street Suite 2700 Indianapolis IN 46204 USA
Tel: +1 317 916 2118 Fax: +1 317 916 9076 Email: bonnie.martin@ogletree.com Web: www.ogletree.com
1. Employment Terms 1.1 Employee Status
There is no federal law that requires employers to pro - vide specific written information to employees at the time of hire, with the exception of certain disclosure requirements in the context of background checks. However, some states require employers to disclose information such as the employee’s wages or regular payday at the outset of employment. 1.3 Working Hours Under the federal FLSA, most employers are required to pay overtime – at a rate of time-and-a half of the employee’s regular pay – for each hour worked that exceeds 40 hours per week, unless the employee is statutorily exempt. Some states expand these terms and conditions to include overtime in excess of eight hours in one day or overtime for work performed on weekends. The FLSA limits the types of flexible scheduling arrangements available. Maximum work - ing hours for minors are imposed by federal and state laws. 1.4 Compensation Minimum wage requirements are imposed by fed - eral and state laws. The federal minimum wage for employees covered by the FLSA is currently USD7.25 per hour. States and localities may impose minimum wages above the federal minimum wage. The federal government does not otherwise intervene in deci - sions regarding increases, bonuses or other types of compensation. State laws regulate the timing of compensation payments and permissible deductions from pay.
The Fair Labor Standards Act (FLSA) exempts cer - tain white-collar workers from the statute’s minimum wage and overtime requirements. Employers are not required to pay minimum wages or overtime pay to executive, administrative, professional or certain com - puter or outside sales employees who satisfy the sal - ary level and other requirements to meet one of the white-collar exemptions. Employees who do not meet the FLSA exemptions (generally blue-collar workers) are entitled to minimum wage and overtime under the FLSA, as well as any state or local minimum wage or overtime requirements. 1.2 Employment Contracts Employment contracts are not required. Where a writ - ten contract does not exist, courts may imply terms governing the employment relationship from state - ments made in employee handbooks, offer letters and/or oral representations as provided by state laws. In the American workplace, employment is generally assumed to be “at will”, meaning either the employee or the employer can end the employment relationship at any time. For those employment relationships that are under contract, most are in writing – although, depending on applicable state law, the employment contract need not be in writing to be enforceable. State law determines whether employment is “at will” and may prescribe what an employment contract must include.
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