What is the minimum number of employees required for FLSA applicability?

The Fair Labor Standards Act (FLSA) establishes regulations regarding minimum wage, overtime pay, recordkeeping, and youth employment. One key aspect of the FLSA is its applicability based on the number of employees an employer has. The FLSA applies to employers that meet certain criteria, including having at least 15 employees. This threshold is significant because it distinguishes between small, possibly local businesses that may not have the same economic impact, and larger businesses that are likely to engage in interstate commerce and thus fall under federal labor regulations.

Entities with fewer than 15 employees are generally exempt from the FLSA requirements, although state laws may impose different standards. This is why the correct answer highlights that 15 is the minimum number of employees required for the FLSA to apply, as it establishes a benchmark for compliance with wage and hour laws intended to protect workers in the labor market. Understanding this threshold is crucial for payroll professionals to ensure that businesses remain compliant with federal regulations.