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In the current economic environment, employees are more likely to fire claims against their employer. WHAT CAN EMPLOYERS DO TO TAKE CONTROL?

What Employers Can Do To Take Control

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  • 1.In the current economic environment, employees are more likely to fire claims against their employer.
    WHAT CAN EMPLOYERS DO TO TAKE CONTROL?

2. 3. 4. Dwight Schrute on Loyalty
Would I ever leave this company? Look, I'm all about loyalty. In fact, I feel like part of what I'm being paid for here is my loyalty. But if there were somewhere else that valued loyalty more highly, I'm going wherever they value loyalty the most.
~ Dwight Schrute: The Office
5. Recent Trend in Claims
42% increase in Wage Claims
2,714 claims in Utah
July 2009 184 claims
Record # of Wage Claims for
2008 Fiscal year
Multiple filings with same company
6. What are the Penalties?
Outstanding Wages
5% interest up to 20 days
This equals the wage claim amount so you end up paying double the outstanding wage.
7. Wage and Hour Enforcement
Obamas 2010 Budget includes
17% increase in enforcement budget
22% increase in Full-time employees
Purpose:
Conduct more targeted investigations
To maximize compliance
Focus on low-wage industries that employ vulnerable workers
8. Common Errors Employers Make
Banking Hours
Independent Contractors
Tip Reporting
Salaried Employees
Youth Jobs (mowing lawns)
Pay employee from multiple entities
Ask employees to do work off the clock
Pay piece rate without tracking hours
Paying payroll late because of funding issues
Payroll deductions
9. The Edge
10. How to Protect your Company
Understand FLSA Laws
Audit current practices
Documentation
Communicate with employees
Provide resources to employees
11. Fair Labor Standards Act
What Supervisors Need to Know
12. Are Details Important?
13. FLSA Basics
Minimum wage and overtime requirements
Equal pay
Calculate overtime
Rest and Meal Periods
Recordkeeping requirements
Exemptions from overtime requirements
Deductions from pay
Independent Contractors vs Employee
Tip Reporting
Child labor laws
14. Minimum Wage
July 24, 2009
$7.25
Federal versus state requirements
Minimum wage/overtime posters
Make sure you updated your posters with new min wage rate.
15. Equal Pay
Equal Pay Act
Comparison of jobs
Prohibited pay differentials
Permitted pay differentials
16. Hours of Work
FLSA requires regular and overtime pay
Hours worked
Workweek
Split shifts
Training programs, lectures, and meetings
Holidays, vacations, and sick days
Report-in pay
17. Overtime
Overtime for hours worked over 40
Averaging hours prohibited
Holiday/sick pay not included
On-call and travel time may be included
Employee rights
Time of payment
18. Calculating Overtime
Fixed 40-hour workweek
Fixed workweek of fewer than 40 hours
19. Rest Periods
Meals
Work breaks
20. Recording Work Time
Means of tracking hours
Regular starting and stopping times
Discrepancies
Rounding off
21. FLSA Recordkeeping
Employee information
Basic employment and earnings records
Records on employees receiving tips
Minimum requirements
22. Things arent always as they seem
23. Nonexempt and Exempt
Nonexempt employees
Exempt employees
24. Types of Exemptions
Executive
Administrative
Professional
Computer
Sales
Highly Compensated
Other
25. Deductions from Pay
Absences due to illness or disability
Absences for personal reasons
Offsets
Disciplinary suspensions and penalties
First and last weeks of employment
Unpaid leave
26. Contractors and FLSA
Contractors include workers who contract with the company
Reasonable basis test
Control:
Behavior
Financial
Relationship:Are they pursuing their own business
27. Child Labor Laws
Purpose of child labor laws
Workers under age 18
Hours of work
Minimum wage
Overtime
Work restrictions for all minors under 18
Other restrictions vary depending on minors age
28. Related Utah Laws
Final check within 24 hours
If fired or laid off
Signature required for deductions
Deductions cannot take employee below minimum wage
Penalties for late payroll
29. Sleeping Giant
30. Why You Need to Know
Wage and hour issues are critical to the operation of the organization
FLSA determinations may be difficult
The law affects employee compensation
You play an important role in compliance
31. Virtual DOL Audit
Employee Complaint or Watch List
Notification Letter
Prepare Documentation
Meeting
Minimum Wage
Overtime
Child Labor
32. Virtual DOL Audit
Interview Employees
Their best recollection
Decision Letter/Meeting
Back Wages Owed
Penalties
33. Utah Wage Claim
Notification Letter
Pay or Fight
Documentation
Possible Hearing/Mediation
Decision Letter
34. How to Protect your Company
Understand FLSA Laws
Audit current practices
Documentation
Communicate with employees
Provide resources to employees
Partner with ESG!!!
35. FLSA Requirements
Questions?