FLSA

Keep exempt status by authorizing discretion

11/11/2009

It’s a serious mistake to wrongly classify employees as exempt when they should be designated as hourly workers eligible for overtime. Be especially wary of one of the most common errors: Applying the exempt administrative classification to employees just because they perform nonmanual work directly related to the management or general business operations of the company.

Beware employee costs that bring wages below minimum

11/11/2009

Beware breaking wage-and-hour laws if you employ drivers who cover expenses for the vehicles they use to make deliveries. If your hourly rate minus those expenses yields a figure lower than the minimum wage, you may be violating the Fair Labor Standards Act.

What wage-and-hour records must we track?

11/09/2009

Q. What are my responsibilities as an employer for maintaining employees’ wage records?

What counts as a true meal break?

11/04/2009

Q. Sometimes we hold important meetings at lunch and provide food. An employee then takes her lunch hour after. Can we tell her she can’t do that?

Can we require an exempt employee to use vacation time to coach his son’s sports team?

11/02/2009

Q. One of our supervisors wants to coach his son’s basketball team and has asked to leave work an hour early twice a week. We told him we do not have a problem with leaving early, but that he would have to use vacation time to cover the time lost. He refuses to do that and says we cannot dock his pay for the two hours because he is a salaried supervisor. Is that right?

Must you pay for the commute? Sometimes, yes

10/28/2009

Q. One of our nonexempt employees is now working at a different location on Thursdays. This is a temporary assignment with no end date. It normally takes her 10 minutes to drive to work. But now she has to drive 90 minutes. Should she be paid for 1 hour and 20 minutes of travel time (subtracting her 10-minute normal commute)?

When figuring time worked, you must round in employee’s favor

10/27/2009

The New Jersey Department of Labor and Workforce Development (NJDOL) has changed its enforcement policy regarding the rounding of employees’ time for wage payment purposes. A recent letter from Theodore Easton, chief of enforcement for the NJDOL, confirmed that if a New Jersey employer rounds off any increment of time an employee has worked, it must now be done in the employee’s favor.

Time on your side: Learn FLSA ’rounding rule’

10/20/2009

The FLSA allows employers to round off an hourly employee’s arrival or departure time to the nearest five minutes, tenth of an hour or quarter of an hour. But your rounding practices can’t always favor the employer. Rounding must be neutral or it must favor the employee. That means if you round down, you must also round up. You have several ways to make rounding fair:

Consider specific circumstances when weighing whether to pay for before- or after-work time

10/20/2009

These days, class-action claims for unpaid work time are becoming common—and can get very expensive. That’s one reason to make absolutely sure you properly pay employees for the work they do. Take a careful look at your hourly employees’ workdays—when they start and when they’re done for the day.

Bonuses advanced and then rescinded: Does that threaten MFLSA exempt status?

10/15/2009

Q. Our bonus plan states that employees eligible to receive bonus pay will receive bonus advances with each paycheck based on year-to-date performance results. Last year, we were on track to meet the maximum bonus throughout most of the year, but the last few months of the year were slow and we didn’t meet our target goal. As a result, we deducted certain amounts from the last few paychecks of salaried employees. Do these deductions threaten the exempt status of the salaried employees?