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Wages & Hours

Texas court: Prisoners aren’t entitled to the minimum wage

08/01/2006

Compelling a prisoner to work without pay is not illegal, a federal court has ruled in considering a Texas inmate’s request. The prisoner worked in the prison laundry and claimed he should be paid at least the federal minimum wage …

A ‘Perfect storm’ for organized labor is forming over Texas

08/01/2006

For Texas employers, the long-range forecast shows an unstable union atmosphere over the next several years, with pressure building from health care costs, outsourcing and immigration reform. As the united front of the AFL-CIO and the new Change to Win union blow through the state, damage may be significant …

Earn a new tax break for giving paid leave for organ donation

08/01/2006

A new law signed last month by Gov. Rendell, The Organ and Bone Marrow Donor Act, grants employers a tax credit if they offer paid organ-donor leave to their employees. State Rep. Robert Godshall (R-Montgomery) proposed the bill (HB 153) after hearing how some would-be organ donors would be deterred by potential economic losses from missing work …

Prepare to comply with new state minimum wage law

08/01/2006

Gov. Rendell signed legislation last month that increases Pennsylvania’s minimum wage by $2 per hour phased in over the next two years, but smaller businesses will have more time before having to pay the higher rates …

Don’t break wage promises to visa holders

08/01/2006

Employers who rely on the expertise of foreign scientists, engineers and nurses would be wise to review the processes they use to recruit and pay employees under H-1B visas. The EEOC has taken a keen interest in whether promises made to induce foreign talent into the United States are being honored. And more visa holders are hiring lawyers and suing for broken promises …

Performance-Based Pay Cuts: Legal, not advisable

08/01/2006

Q. We do yearly performance evaluations, during which we review whether employees have met the expectations we laid out during the previous review. If these expectations were not met, can we legally decrease the employee’s salary as punishment? —A.L., Iowa

Lessons from the 2006 SHRM conference: Cut hourly staff turnover by giving more frequent raises

08/01/2006

For nonexempt employees making below $15 an hour, it’s wise to set merit raise potential at twice each year, not just annually, said Sharon Koss, a compensation consultant in Seattle. Why? Hourly workers need a goal to shoot for and a reason to work hard. Waiting a year for a raise is too long.

Labor Dept. Tightens Noose on Donning-and-Doffing Cases

07/01/2006

A key 2005 U.S. Supreme Court decision made clear that manufacturers must pay workers for time spent changing in and out of safety gear, plus the time they spend walking between changing rooms and workstations. Now, the Labor Department is moving to make sure employers are complying …

Use lots of independent contractors? Heed new legal risks

07/01/2006

Same work, fewer expenses and less hassle. That’s the perceived advantage of using independent contractors. And the mantra has its appeal. But many employers have opted for freelancers only to find a new set of problems: lack of control, unreliable workers and, in some cases, litigation …

A Costly Lesson in Allowing Off-the-Clock Work

06/01/2006

Make sure supervisors understand what counts as "paid time" and remind them that they should not encourage employees to work off the clock. Example of the risk: Compass Bank of Birmingham, Ala., recently shelled out more than $1 million in unpaid overtime to 2,961 employees …