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.
When it comes to paying hourly employees for all hours worked, the best policy is to fix any mistakes as soon as you can. Chances are, doing so will reduce your liability down the line.
Q. I work for a nonprofit organization. Several hourly employees of the organization volunteer during nonworking hours. Is that OK?
Do you have employees classified as inside sales employees? If so, you may be courting trouble unless you are absolutely sure they qualify for the exemption. That’s especially true if you also don’t track any extra hours they work.
The DOL’s Wage and Hour Division doesn’t want to see any funny business when it comes to accurately recording hours worked or paying employees on time. Don’t even think about manipulating payroll systems. Doing so will result in double damages going back three years.
Q. We have an hourly worker who oversees both the maintenance and housekeeping departments and supervises two employees. In this job, he has the authority to hire and fire. However, he is also a “working” supervisor who performs maintenance in and around the property. Can his status be changed to salary/exempt?
Garner-based KBE Landscaping will pay $14,651 in back pay to 33 employees after a Department of Labor investigation revealed the company failed to properly pay overtime to its hourly workers.
Cyrilla Landscaping in Coraopolis, outside Pittsburgh, has agreed to pay $39,091 in back wages to 29 workers following a DOL investigation—plus another $39,091 because the feds found the violations were willful.
Q. Can we use a time clock for exempt employees? If not, how can we have a record of their hours worked?
Before you settle an FLSA claim for what you might consider “peanuts,” remember that any settlement will probably include court-authorized legal fees that you will have to pay to the employee’s lawyers. That’s because any success in collecting unpaid overtime or minimum wages also means the employee who wins that money is entitled to have his legal fees paid.
Here’s incentive to give managers more control over their own schedules. It could prevent one disgruntled employee from turning a simple lawsuit into a class action that covers everyone else with a similar job. That might make the difference between a small verdict and a huge one.