wage and hour audit

A wage and hour audit is an independent review (typically privileged) that seeks to determine whether, for payroll purposes, the employees of a business are properly classified as either "exempt" (and thus not eligible for overtime pay) or "nonexempt" (and thus eligible for overtime pay).

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Additional Information

Wage and hour audits apply the provisions of both the federal Fair Labor Standards Act (FLSA) and state wage and hour laws in making such determinations.


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