Reference no: EM133229779

Review the DOL Reference Guide to the FLSA in the Course Toolbox (also summarized below) and answer the questions below.

The FLSA establishes minimum wage, overtime pay, recordkeeping, and youth employment standards affecting employees in the private sector and in Federal, State, and local governments. 

• FLSA Minimum Wage: The federal minimum wage is currently $7.25 per hour. Many states also have minimum wage laws. In cases where an employee is subject to both state and federal minimum wage laws, the employee is entitled to the higher minimum wage.  
• FLSA Overtime: Covered nonexempt employees must receive overtime pay for hours worked over 40 per workweek (any fixed and regularly recurring period of 168 hours - seven consecutive 24-hour periods) at a rate not less than one and one-half times the regular rate of pay. There is no limit on the number of hours employees 16 years or older may work in any workweek.  
• Hours Worked: Hours worked ordinarily include all the time during which an employee is required to be on the employer's premises, on duty, or at a prescribed workplace. 
• Regular Pay: To calculate an employees' regular pay rate, employers must factor in all compensation excluding special occasions, vacation, holiday, or illness time off, overtime or discretionary bonuses.

The grocery store pays its store managers $15 per hour per 40-hour work week. The store also rewards its managers for good work or busy times by paying its managers an additional $200 twice a month. When the managers work more than 40 hours a week, the store pays its managers $22.5 per hour, one- and one-half times of their normal hourly rate. 

Is the employer in compliance with the law?