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Compensation & Benefits

Planning to offer bigger raises this year?

04/12/2011
More employers are planning to offer bigger raises this year, now that business has started to rebound. A survey by Towers Watson found that companies are optimistic and budgeting for merit increases of 3% this year, up from 2.7% in 2010.

Alaska Air pays 9% bonus to everyone on payroll

04/11/2011

Every employee of Alaska Air Group pocketed an extra month’s pay in February when the organization paid record annual bonuses totaling $72 million. The 9% bonuses came after the airline’s 12,600 employees helped the organization exceed its 2010 operational and financial goals.

Do we have to pay for smoking breaks?

04/07/2011
Q. We give employees a one-hour unpaid lunch break. We don’t provide additional paid breaks during the day. If an hourly employee also chooses to take short smoke breaks (less than 20 minutes) in the morning and afternoon, do we have to pay her for the breaks?

2011’s biggest wage-and-hour issues–and what to do about them

04/06/2011

This year is shaping up to be a tough one for organizations worried about employment law issues. So far, the U.S. Supreme Court has decided three big employment law cases—and every time, ruled in favor of employees. The latest expanded employer retaliation liability under the FLSA. But that’s not this year’s only press­ing wage-and-hour problem. Pay atten­tion to these other issues:

Amityville Fire Department settles age bias lawsuit

04/06/2011
A group of volunteer firefighters for the Amityville Fire Department will share $209,280 after they settled a lawsuit alleging discrimination in the way cash bonuses were handed out.

Overtime suit takes big slice out of pizzeria

04/06/2011

Mama’s Pizzeria in Copiage will be serving up $780,000 in back pay and liquidated damages to its 40 employees to settle a federal lawsuit. An investigation by Wage and Hour officials found that many of Mama’s employees were forced to work 70 to 80 hours a week without receiving overtime pay.

Offer FMLA, but still enforce attendance rules

04/06/2011

Employees occasionally have to step in on short notice to help care for a family member and may legitimately need FMLA leave to handle those responsibilities. Go ahead and suggest FMLA time off. However, until the employee takes you up on the offer, you can hold her to your regular attendance policy.

FLSA violations cost Houston grocer $2 million

04/06/2011
A Houston-based grocery chain, Hong Kong Group Inc., has paid $2 million to settle a lawsuit alleging wage-and-hour violations that involved phony payroll records and attempts to coerce employees into returning pay they had already received.

Justify exempt status to avoid class actions

04/06/2011

It takes just one or two disgruntled employees to start an FLSA class-action overtime lawsuit. Be prepared to fight such lawsuits early and vigorously. Your best bet: Classify employees correctly in the first place.

Address domestic violence with benefits

04/06/2011

It might feel uncomfortable to try to help an employee who might be a victim of domestic violence. But you could be saving lives if you encourage supervisors and co-workers to do so. A proactive decision to provide support to domestic-violence victims not only protects them—it also protects companies’ bottom lines.