Employers and managers must understand and comply with law regarding pay and pay practices in the workplace. The federal Fair Labor Standards Act (FLSA) is the most prominent of these. The FLSA sets a minimum wage that must be paid to all workers and spells out the necessity for overtime pay for all workers who are not exempt. In general, workers must be paid at least the statutory hourly rate and must be compensated at least time and a half (150 percent) of the employee's base rate for all hours worked over 40 hours in and employee's standard work week.