Fourth Circuit: FLSA Lodging Credit Still Applies to Hours-Worked Agreements


All Employers of MD, NC, SC, VA, and WV Employees


January 25, 2018


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The FLSA requires employees to be paid for all hours worked, and permits employers and employees to agree on the number of hours worked when the employee lives on the employer’s premises, provided that the FLSA’s wage and hour requirements are followed (e.g., minimum wage, overtime paid, etc.). In Balbed v. Eden Park Guest House, LLC, the Fourth Circuit Court of Appeal stated that even when an employer and employee enter into a reasonable agreement of hours worked, the FLSA’s requirements for calculating the lodging credit are still enforceable.