Overtime Labor Laws

Federal overtime laws, designed to help end the exempt vs. non-exempt debate, have made things worse. To non-exempt and exempt employees, labor laws continue to confuse.

Business Management Daily can help you comply with federal overtime laws. Learn when you have to pay overtime, and when you don’t.

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If your business is small enough and local enough (meaning you don’t produce goods for interstate sale or perform work outside your own state), you may not have to follow the federal Fair Labor Standards Act.

Q. We are doing an internal review of our recordkeeping, and we realized that we track hours for our on-site transcriptionists but we have not been tracking the hours for our transcriptionists who work from home. The on-site employees are non­exempt and we pay them an hourly wage. However, the remote employees are paid piece rates—a certain rate for the number of words transcribed from dictation. Do we have to keep track of their hours?

The owners of Onward Construction in Queens have pleaded guilty to a misdemeanor count of failing to pay their employees. The company quit paying its seven workers in March 2011. In all, they owed workers $18,680 by the end of September 2012.

The Doubletree Hotel in Richardson has agreed to pay 112 employees $102,592 to settle charges it violated the Fair Labor Standards Act.
San Francisco-based First Republic Bank will pay $1,009,644 in overtime back wages to 392 employees in California, Connecticut, Massachusetts, New York and Oregon. A DOL investigation revealed the bank incorrectly classified workers as exempt from the FLSA.

The Rite-Aid drugstore chain, based in Camp Hill, will end 14 different over­­time lawsuits with one huge settlement of more than $27 million. Plaintiffs had alleged the company misclassified assistant managers and co-managers to avoid paying them overtime.

Raleigh’s Dos Taquitos restaurant must fork over almost $50,000 in back pay to 26 employees the U.S. Department of Labor says were shortchanged.
President Obama began a public push last month for Con­­gress to raise the federal minimum wage from $7.25 to $9.00 per hour. Outlook: The proposal will have a tough time getting out of the House.
What can employers do when em­­ployees insist on clocking out and continuing to work? Warn them—and then discipline them. If you terminate employees for refusing to listen, they won’t be eligible for un­­em­­ployment compensation and you will also protect your company from an overtime lawsuit.
The Point Brugge Café, in Pitts­­burgh’s East End, must pay $37,719 to 39 workers that the U.S. Depart­­ment of Labor says were stiffed by an illegal tip-pooling system.