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Compensation & Benefits

Employees must be free to do as they wish during rest periods, meal breaks

02/22/2010

Under California’s wage-and-hour laws, employees must be completely relieved of their duties during rest periods and meal breaks. Employers can’t count downtime during work hours as rest and meal time.

$2.6 million lawsuit could clean out L.A. car wash

02/22/2010

As part of a wider crackdown on companies that violate worker protection laws, California Attorney General Edmund G. Brown Jr. filed a lawsuit alleging that a Los Angeles car wash, Auto Spa Express, failed to pay minimum wage and overtime to its employees and denied them workers’ compensation benefits.

Must we pay for unauthorized overtime?

02/22/2010

Q. Without authorization, one of our employees worked extra hours this week, even though we told everyone they needed approval to work overtime. Are we required to pay overtime for the unauthorized hours?

IRS explains how to legally fix deferred comp plans

02/19/2010

It’s fairly easy to make mistakes with complex deferred compensation plans that dish out compensation to employees at a future date. Good news: The IRS last month published new guidance to help employers comply with the rules, covered under Section 409A of the tax code.

FMLA: Revised Regulations

02/19/2010

HR Law 101: The U.S. Department of Labor’s revised FMLA regulations took effect Jan. 16, 2009. Here’s a summary of the most important changes.

Wisconsin firm reimburses workers for pay cut

02/19/2010

Last summer, engine manufacturer Briggs & Stratton cut its employees’ pay by 10%. In January, it paid most of it back. The Milwaukee-based company reimbursed salaried employees 75% of the pay they lost during the six-month wage reduction. It also restored previously suspended 401(k) contributions.

Workers coming in early to fire up their computers? You must pay them

02/18/2010

If your managers tell employees to show up a little early to start their computers and get ready to work, that time must be compensated. That’s true even if you don’t absolutely demand early arrival, but internal systems make it tough for employees to begin their shifts if they don’t arrive early.

Workers in early to fire up computers? You must pay

02/18/2010

If you ask workers to show up a little early to start their computers and get ready to work, be prepared to pay them for that time or risk getting sued. How to avoid such lawsuits: Design better systems so prep time is minimal—but still paid. Or simply start the actual shift a few minutes after paid time begins.

Not rehiring FMLA leave-taker? Document why

02/16/2010

Employees who run out of FMLA leave and are fired under a policy requiring mandatory dismissal for excessive absences may be invited to apply for other open positions when they recover enough to work. Be careful how you handle those reapplications, especially if one of the terminated employees was off because she was pregnant and ran out of leave before being able to return.

Aurora trucking firm sued for bilking employees on benefits

02/16/2010

The U.S. Department of Labor has sued Mid-State Express, alleging that the trucking company collected health care premiums from its employees, but never actually used them to buy insurance. As a result, employees face more than $3 million in unpaid medical bills.