Tag: FLSA

Lax Record-Keeping Costs Employer $179K

The Fair Labor Standards Act (FLSA) sets the minimum wage and overtime pay requirements for employers. Within the FLSA, there are record-keeping requirements, including a list of 15 types of information employers must keep for up to three years. Compliance is not only required by law, but it can also be very helpful in the […]

Sixth Circuit Addresses Salary Basis Test under FLSA

Wage and hour claims remain a hot topic in employment litigation. The Sixth U.S. Circuit Court of Appeals recently addressed a case involving pay deductions. While the court rejected some of the employees’ arguments, it ultimately agreed with the district court that the employer violated the Fair Labor Standards Act (FLSA) by making certain deductions […]

Federal Minimum Wage Increases on July 24

On July 24, 2009, the federal minimum wage will increase to $7.25 per hour. The increase is the result of a May 2007 amendment to the Fair Labor Standards Act (FLSA), which boosted the minimum wage in three steps. The first two steps — to $5.85 and then a year later to $6.55 — were […]

Comp Time in the Private Sector

On February 10, 2009, Congresswoman Cathy McMorris Rodgers (R-Washington) again introduced the Family Friendly Workplace Act, which, if passed, would amend the Fair Labor Standards Act (FLSA) and authorize private employers to provide compensatory (or “comp”) time off in lieu of overtime pay. For almost 20 years, the public sector has been using comp time, […]

Interns and Trainees: Must They Be Paid?

(Updated May 2010) By Hillary J. Collyer Summer is here, which means that student interns are arriving for their summer internships — and many of these internships are unpaid. Internships afford students the opportunity to gain practical, real world experience, as well as explore various career paths and develop potential contacts. Employers should be careful, […]

DOL Issues Opinion Letter on Wage and Hour Issues for Mandatory Unpaid Time Off

In today’s economic climate, companies are continually looking for ways to cut costs without cutting jobs and resorting to layoffs. One option many companies are considering is mandatory unpaid time off, sometimes referred to as an employee furlough. By requiring mandatory unpaid time off, companies can reduce payroll expenses by reducing the number of hours […]

Beware Misclassifying Workers as Exempt Administrative Employees

As employers know, certain employees aren’t entitled to overtime pay under the federal Fair Labor Standards Act (FLSA). The most common exemptions include the executive, administrative, and professional exemptions. Because the administrative exemption is more nebulous than the executive and professional exemptions, employers often misclassify non-exempt workers as exempt administrative employees. Although it should be […]

Wage & Hour Audits—You or the Feds?

Yesterday’s Advisor answered some quirky questions on overtime. Here are several more, plus an introduction to a wage and hour audit system that will help you spot problems before the feds do. Do we have to pay employees who clock in early?Is it legal for us to refuse to pay hourly employees straight time or […]

Quirky Overtime Questions You Probably Should Be Asking

Wage and hour ought to be simple, but our customers keep coming up with new twists. How many of these questions cover situations you face in your organization? Do I have to pay overtime on paid lunch breaks?Our workweek is 35 hours, plus we pay lunch breaks of 1 hour each day, totaling 40 hours […]

Guaranteed New Year’s Resolution—Bulletproof FLSA Compliance

Happy New Year, readers. Here’s one resolution that you can easily keep—to audit your exemptions and pay practices (before the feds make good on their resolution to do it for you).  If yours is like most organizations, you’ll get the biggest bang for your New Year’s buck with an FLSA audit. The astounding amounts of […]