Increases to FLSA Penalties

The U.S. Department of Labor has released increased penalty amounts for certain violations of the Fair Labor Standards Act (FLSA). As of January 2, 2018, the penalties are “approximately 2% higher than those established last year”. Relevant violations include those regarding minimum wage, overtime, and child labor. Below is a summary of these fines provided by JD Supra.

Minimum Wage/Overtime Penalties

“In accordance with the enactment of the Civil Penalties Inflation Adjustment Act Improvements Act of 2015, agencies now adjust penalties annually. The newest increase, effective immediately, permits USDOL to impose a monetary penalty of up to $1,964 for a violation.”

Child Labor Penalties

“Under the new figure, USDOL can assess a monetary penalty of up to $12,529 for each worker under 18 years old who was employed in violation of the FLSA’s child-labor restrictions set forth in the agency’s related regulations. A child-labor violation that results in a minor’s serious injury or death will now be punishable by a civil penalty of up to $56,947.  This sum could be doubled to $113,894 as the result of a “repeated” or “willful” violation.”
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