A Costly Lesson in Allowing Off-the-Clock Work — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily
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A Costly Lesson in Allowing Off-the-Clock Work

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Make sure supervisors understand what counts as "paid time" and remind them that they should not encourage employees to work off the clock.

Example of the risk: Compass Bank of Birmingham, Ala., recently agreed in a Labor Department settlement to pay more than $1 million in unpaid overtime to 2,961 employees. Customer service reps routinely worked without pay during their lunch hour and after their scheduled time ended.

Good resource: The Labor Department fact sheet, Hours Worked Under the FLSA, addresses when to pay for on-call hours, sleep time, rest breaks, travel time and more. Go to www.dol.gov/esa/regs/compliance/whd/whdfs22.htm.

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