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Compensation & Benefits

You must notify employee when leave is almost up

09/01/2007

Employees nearing the end of their 12 weeks of FMLA leave have the right to know when it will expire. You can’t simply calculate when the time will run out and not give a “heads up.” In fact, silence may operate as an unspoken extension. What’s more, expect an FMLA lawsuit if you then refuse to reinstate the employee because she took too much leave …

Be prepared to back up cost of religious accommodations

09/01/2007

You can’t just use a blanket statement (e.g., “granting time off will be expensive”) to deny a request for religious accommodation. You must be prepared to show the actual cost of the accommodation. That’s true even if giving someone the Sabbath day off means having to hire another employee to cover the time …

Must we deliver final paychecks at termination?

09/01/2007

Q. When one of our employees was fired, he demanded his paycheck on that same day. Are we required to deliver final paychecks to employees the day they quit or are terminated? —D.G. …

Prompt wage payment required—Including actually having money in the bank

09/01/2007

Employers must pay their employees on payday—and make sure the money is in the bank. Otherwise, they risk liability for double the amount due as liquidated damages under the Fair Labor Standards Act …

Labor Dept. sues Pilgrim’s Pride in donning and doffing case

09/01/2007

The U.S. Labor Department has filed a lawsuit against Pilgrim’s Pride Corporation in Dallas in an effort to recover more than $3 million the agency claims the company owes to more than 500 former and current employees. The Labor Department claims that Pilgrim’s Pride failed to pay employees for the time they spent putting on and taking off protective clothing before the start and after the end of their shifts …

It’s time to figure out who will replace the boomers

09/01/2007

Despite what you’ve heard about would-be retirees clinging to their jobs long into their golden years, the average retirement age is 62. That means the boomers are going to start racing into retirement. How many employees is your organization going to lose? Chances are, you don’t know. Most organizations don’t know how old their employees are or when those in their 60s plan to retire. Supervisors may know on a case-by-case basis, but what the organization needs is an overall profile so a mad dash out the door doesn’t catch anyone by surprise …

Law boosts pension portability as cash-Balance plans take off

09/01/2007

Dow Chemical Co., based in Midland, has announced it will adopt a cash-balance plan for new employees, making it the largest employer to do so since Congress passed legislation last year protecting new plans from age-discrimination lawsuits …

Retirees can sue employers who mismanage retirement investments

09/01/2007

The 3rd Circuit Court of Appeals has expanded the class in a class-action suit brought by former workers and retirees against their employer. The case centers on Conexant Systems Inc., which offered its own stock among the investment options employees could choose from when structuring their 401(k) plans. The stock fell from $7.42 per share to $1.70 in seven months during 2004 …

Paying exempt employees extra? Be sure to clarify status

09/01/2007

Do you pay exempt employees extra for working extra hours? If you do, make sure you clearly indicate that you still consider the employees as exempt. That way, should you stop making the payments, you haven’t created unreasonable expectations …

Lights out means it’s lunch time in Seattle

09/01/2007

Lights out signals lunch time at the NRG::Seattle insurance company. Every day at 11:30 am, the lights go off and all employees must stop working. This one-hour break gives employees the chance to eat together and take a breather before the second half of the workday …