FLSA

How should we calculate OT when paying bonuses based on previous performance?

06/24/2010

Q. Our company pays monthly bonuses to hourly employees based on the previous month’s performance. When calculating overtime, should the bonus pay be included only for the weekly payroll that contains those bonuses, or does it change the overtime rate for other weekly pay periods as well?

Will proposed legislation put us on the financial hook for misclassified employees?

06/24/2010

Q. If, according to the revised Employee Misclassification Prevention Act, we’ve been improperly classifying certain employees, do we need to go back and reimburse them? At the time, we thought they were properly classified.

California Supreme Court redefines ’employer’

06/18/2010

The California Supreme Court has ruled that California law on who is or is not an employee goes beyond the definition contained in the federal Fair Labor Standards Act and includes a broader measure of who is an employer.

Court tossed class-action suit? Your legal worries aren’t over yet

06/14/2010

Here’s more incentive to pay close attention to your compensation practices: Wage-and-hour lawsuits can easily morph into collective actions in which a few employees represent all similarly situated employees. Even if an employer manages to persuade the court that the claims aren’t suitable for a collective action, that doesn’t mean the case is over.

When must you pay interns? DOL aims to clarify controversial question by issuing new guidance

06/14/2010

As we told you last month, the DOL and many state agencies are cracking down on employers that illegally fail to pay their interns. Now the DOL has published “Fact Sheet #71: Internship Programs Under The Fair Labor Standards Act” that helps clarify employers’ obligations.

DOL plan carries huge HR paperwork burden

06/10/2010

Which of your workers are eligible for overtime pay? Which are independent contractors versus employees? It soon won’t be good enough to guess … get ready to document and show proof. The DOL issued a proposal last month that would require employers to prepare detailed records on every worker’s status under the FLSA. Then you’d have to keep that information on file and be prepared to show it to the DOL upon request.

Prepare for the crackdown: DOL focuses on wage underpayment

06/09/2010

The U.S. Department of Labor (DOL) is stepping up efforts to encourage and support certain types of wage-loss claims by low-income workers. Labor Secretary Hilda Solis announced in April that the department was rolling out its “We Can Help” campaign to address this issue. If you employ relatively low-wage workers, you need to be aware of this program.

What are the legal risks of not paying interns?

06/09/2010

Q. For years, we have used student interns during the summer months. Because they are interns, we do not pay for their services. Is this legal?

Updating your policy, but not your handbook

06/03/2010

Q. Our employee handbook says that employees are paid for 40 hours per week as long as they put in at least 38 hours. We recently told employees that, from now on, we pay only for actual hours worked. Do we have to change the handbook, too?

How should we handle tip calculations that factor out credit card fees?

06/02/2010

Q. Our employees receive tips, and we take advantage of the tip credit toward the minimum wage. In the past, we have paid employees the full tip amount on credit card charges, even though we have to pay a percentage fee to the credit card company. It doesn’t seem fair that we should have to pay money that we don’t really receive. How may we resolve this fairly and legally?