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How do employers navigate FLSA onboarding requirements?

July 2024 employment law letter
Authors: 

Patrick M. Ngalamulume, Parsons Behle & Latimer

Q     What is considered compensable time during the onboarding process under the Fair Labor Standards Act (FLSA)—for example, time completing paperwork before the start date as well as time reviewing policies and procedures and completing training?

Employee onboarding involves incorporating new employees into the organization by providing necessary knowledge and skills to succeed. As an employer welcomes new employees, it’s important to understand what constitutes compensable time during the onboarding process. Under the FLSA, compensable time means any period spent on work-related activities for which an employee must be compensated. In addition to actual work performed, work-related activities include activities that are considered by law to be essential to the functions of employment.

A standard workweek generally includes the time during which an employee is required to be on the employer’s premises on duty or at a precise work location. According to the FLSA, a “workday" refers to the period between the time when employees commence their "principal activity" and the time when they cease such principal activity.

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