Fair Labor Standards Act of 1938 is a law that established a national hourly minimum wage and promulgated eligibility rules for overtime pay.
The Wage and Hour Division of the US Department of Labor administers the law, and virtually all wage and hour claims cite a violation of the FLSA. Wage and hour claims allege that workers classified by employers as "exempt" (and, therefore, ineligible for overtime pay) are, in fact, entitled to overtime pay. Wage and hour claims are a serious exposure for employers; a number of class action wage and hour claims have settled for more than $10 million.