Employment & Labor Law

13% of this exam

This domain mixes federal wage-and-hour law (FLSA) with Florida workers' compensation (FS 440). The tested skills: applying the overtime rule, knowing who must be covered by workers' comp, spotting illegal child labor, and classifying workers correctly as employees or independent contractors.

Core concepts

Overtime is weekly, not daily

Non-exempt employees get at least 1.5× their regular rate for hours over 40 in a workweek. Federal law has no daily overtime — a 12-hour Tuesday alone triggers nothing.

Construction workers' comp starts at one employee

Florida construction employers need coverage with 1+ employees (vs 4+ outside construction). Corporate officers can exempt themselves only with 10%+ ownership, max three officers per corporation.

Minors stay off the roof

Federal hazardous-occupation orders prohibit workers under 18 from roofing, excavation, demolition, and power hoisting work — no exceptions for training.

Classification is about control

The IRS weighs behavioral control, financial control, and the relationship. Calling someone a 1099 contractor doesn't make them one; misclassification brings back taxes and penalties.

Key facts to know cold

Overtime rate1.5× regular rate, hours over 40/week (FLSA)
Workers' comp threshold (construction)1 or more employees (FS 440.02)
Officer exemption10% ownership minimum, max 3 officers (construction)
FUTA wage baseFirst $7,000 per employee per year, employer-paid
Under-18 prohibitionRoofing and other hazardous occupations

Where it lives in your books

The real exam is open book. Knowing which book — and which tab — answers this domain is worth as much as memorizing it.

Lookup strategy

  • · Wage/hour and child labor are concept questions — learn them; the books won't save you in time.
  • · Workers' comp thresholds and exemptions are lookup-able: FS 440.02 definitions, 440.05 exemptions.

Reading isn't learning — retrieval is.

23 questions in this domain, each with an explanation and source.