Growth of the American Economy

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Fair Labor Standards Act

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Growth of the American Economy

Definition

The Fair Labor Standards Act (FLSA) is a federal law enacted in 1938 that establishes minimum wage, overtime pay, recordkeeping, and youth employment standards. This legislation marked a significant shift in labor practices, as it aimed to protect workers' rights and improve working conditions across various industries, ensuring fair compensation for labor and reducing exploitation.

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5 Must Know Facts For Your Next Test

  1. The Fair Labor Standards Act was signed into law by President Franklin D. Roosevelt as part of his New Deal programs to address economic inequality during the Great Depression.
  2. Initially, the FLSA applied to employees in industries engaged in interstate commerce, which included many sectors like manufacturing, transportation, and retail.
  3. The law set the first federal minimum wage at 25 cents per hour and mandated time-and-a-half pay for hours worked beyond 40 per week.
  4. The FLSA has been amended multiple times since its enactment, raising the minimum wage and expanding coverage to more workers over the years.
  5. It established regulations on child labor, aiming to prevent the exploitation of minors and ensuring they were not employed in hazardous conditions.

Review Questions

  • How did the Fair Labor Standards Act reflect changes in labor markets and working conditions during its time?
    • The Fair Labor Standards Act was a pivotal response to the harsh labor conditions that many workers faced during the Great Depression. By establishing minimum wage and overtime protections, it sought to ensure fair compensation and safer working environments. This shift represented a growing recognition of workers' rights and an effort to promote economic stability by improving labor standards across various industries.
  • What role did organized labor movements play in advocating for the Fair Labor Standards Act and its subsequent amendments?
    • Organized labor movements were crucial in advocating for the Fair Labor Standards Act as they highlighted the need for fair wages and better working conditions. These movements pushed for reforms that would protect workers from exploitation and rallied public support for the legislation. As the FLSA was amended over time, labor unions continued to advocate for higher minimum wages and stronger protections, emphasizing their importance in shaping labor policy.
  • Evaluate the long-term economic and social consequences of the Fair Labor Standards Act on American society.
    • The Fair Labor Standards Act had profound long-term economic and social consequences, significantly influencing labor relations in America. By establishing minimum wage laws and regulating working hours, it helped reduce poverty levels among low-wage workers, contributing to a burgeoning middle class. Socially, it fostered a greater sense of worker rights and equity in the workplace, setting a precedent for future labor reforms and influencing subsequent legislation aimed at enhancing workers' rights across various sectors.

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