Question

In: Operations Management

   The Fair Labor Standards Act (FLSA) requires classification of employees as either exempt or non-exempt. Discuss...

   The Fair Labor Standards Act (FLSA) requires classification of employees as either exempt or non-exempt. Discuss the requirements for classifying employees as exempt, and the reasons many employees are mis-classified. Why is mis-classification an issue for employees, employers, government agencies and attorneys?

3.          After reading Joy, Inc (and visiting Menlo Innovations, if you did), what are your areas of skepticism or questions about their culture. Is theirs a transferable culture model? Why or why not?

Solutions

Expert Solution

Fair Labor Standards Act (FLSA) is a government work resolution in the USA which indicates the right, by working over 40 hours every week, to least wages, record keeping and additional time pay (which implies 1.5 occasions a run of the mill working environment rate). It additionally precludes kid work for minors in abusive manners. It for the most part includes all laborers working in private, metropolitan, state and government offices, both full and low maintenance.

•A few businesses are FLSA directed, however certain specialists are not FLSA, while some might be FLSA controlled yet are regarded to be "Absolved" from FLSA additional time rules.

Arranging Employees as Exempt

Representatives whose occupations are administered by FLSA either are "absolved" workers or are "non-excluded" representatives. Notwithstanding barely any special cases, excluded worker must be:

1. Paid in any event $23,600 every year ($455 week by week)

2. Be paid on pay premise, and

3. Perform absolved occupation obligations.

Misclassification as excluded workers from additional time is one of the major and normal FLSA rebellion.

Representative may be misclassified, in the event that he/she is being paid hourly. Aside from individuals dealing with PC or is an outside deals worker, absolved representatives must be paid $455 every week for the obligations acted in that week. The job of the new worker isn't accurately organized.

•The organization didn't break down the set of working responsibilities appropriately and didn't check whether the exclusion in new representative case applies or not. In the event that the representative is excluded, at that point standard reviews are required to check if the absolved worker is playing out his absolved obligations appropriately. Directors are not prepared enough to deal with the absolved issues.

•The compensation worries of representatives are not dealt with effectively. On the off chance that the representative raises a compensation worry to the bosses, at that point the organization doesn't pay attention to the objection bringing about legitimate activities. There is likewise a likelihood that for an excluded worker, state exclusion rules was not thought of. It has been seen that a worker is naturally delegated absolved in light of the fact that they have a professional education independent of the idea of work they perform.

•It may happen that the essential work of a worker is difficult work or have dreary utilization of hand is required to satisfy their activity, yet are as yet absolved representatives. It may likewise happen that the worker is getting a pay under $455 week by week since he/she is working low maintenance, though according to FLSA, they ought to be given a compensation of $455 week after week independent of Full-time or low maintenance work and furthermore given extra time if working for over 40 hours per week.

•Misclassification of representatives is an issue for workers since it might destitute the laborer from the absolved representative advantage and furthermore all the customary advantages the organization reaches out to its standard workers.

•It is an issue for businesses in light of the fact that, any misclassification of worker brings about overwhelming charges and punishments and furthermore pay claims prompting tremendous monetary misfortunes just as imprinting notoriety.

•It is an issue for government organizations since they need to keep a consistent check and eye on such managers who tend to misclassify their workers and avoid charges.

•It is an issue for legal counselors since more cases are accumulating and these cases may require some serious energy and vitality to demonstrate that the laborer was wrongly misclassified and get equity for them.

3.  After my visit to Menlo I would state that I am doubter about how everybody changes extends constantly, rules out close to home contacts. Each activity has such a significant number of hands engaged with it that every individual loses their very own touch.

•This is fine as long as representatives have the organization's best expectations in heart and would prefer not to stand apart from the rest. Each venture is an immediate impression of the organization in general rather than a specific group or person.

•A culture that is made out of individuals who care about putting the organization initially is either going to prevail with everybody or fall because of a couple of terrible seeds.


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