When figuring time worked, you must round in employee’s favor — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily

When figuring time worked, you must round in employee’s favor

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in Employment Law,Human Resources

by James J. McGovern, III, Esq.

The New Jersey Department of Labor and Workforce Development (NJDOL) has changed its enforcement policy regarding the rounding of employees’ time for wage payment purposes.

A recent letter from Theodore Easton, chief of enforcement for the NJDOL, confirmed that if a New Jersey employer rounds off any increment of time an employee has worked, it must now be done in the employee’s favor.

The enforcement policy change has led state auditors to issue several wage payment violations resulting in substantial back-pay liability and penalties to employers found to be in violation of New Jersey Wage Payment Law. The law requires employers to “pay employees for all time actually worked.” (N.J.S.A. 34:11-4.2)

Federal versus state regulations

In the absence of specific New Jersey regulation, the NJDOL previously deemed it acceptable for employers to comply with federal regulations under the Fa...(register to read more)

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