Which federal law defines the minimum wage and overtime compensation?

The Fair Labor Standards Act (FLSA) is the federal law that establishes the minimum wage, overtime pay, recordkeeping, and youth employment standards for both private and public sector workers. This act was enacted in 1938 to address the inadequacies in labor standards and ensure that workers receive fair compensation for their labor. Under the FLSA, employers are required to pay employees at least the federal minimum wage and to provide overtime pay for hours worked over 40 in a workweek at a rate of no less than one and a half times their regular rates of pay.

This legislation is crucial in protecting workers from exploitation and ensuring that they receive fair wages for their work, thereby playing a significant role in shaping labor practices in the United States. The other options, such as the Minimum Wage Act or the Employee Rights Act, might refer to various aspects of labor laws but do not define the comprehensive framework regarding minimum wage and overtime compensation set forth by the FLSA.