United States wage and hour law: a basic primer for foreign companies

Abstract

Before sending employees to the US, it is critical for foreign employers to understand the basic requirements of US wage and hour law to avoid unintentional but costly violations of that law. Many foreign companies are surprised to learn that the US workers they employ in the United States as well as their own workers who are sent to the United States for short periods are protected by the US wage and hour laws and must be paid in accordance with US law for workweeks in which the employee performs his or her work in the US or its territories. Unfortunately, many foreign companies do not learn about US wage and hour law until it is too late. This article explains the basic requirements of the US wage and hour law. Because most US wage and hour law requires an individualised case‐by‐case assessment of coverage and requirements, companies considering employing workers in or sending employees to the US are encouraged to consult with US employment law counsel about their specific situations.