Manufacturing Industry

Congress will eye overtime.

Purchasing, June, 1995 by Gottlieb, Daniel W.

With a Republican House favoring business, even the 40-hour work week law is up for review. Known as the Fair Labor Standards Act (FLSA), it's been around since 1938 and covers about nine of every 10 workers in the U.S. Basic thrust of FLSA requires that most employees in the United States be paid a minimum hourly wage and overtime premium pay after 40 hours.

Business says FLSA cramps the flexibility needed by employers and wanted by employees (who may prefer equivalent time off or other flex-time arrangements). Amendments in 1989 helped some small businesses by raising the threshold for FLSA coverage from $250,000 to $500,000 annual dollar, volume. But those same amendments also erased exemptions for a large body of employees in establishments under the...

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