The New Year is a good time to review employee pay practices. Wage and hour lawsuits continue to be the most fertile area for employee claims against employers.
Scary wage and hours cases continue to fill the news headlines with big settlements or potential damages against employers who do not pay correctly under the Fair Labor Standards Act (“FLSA”).
Know Important Rules For Employee Pay
- Is the employee correctly paid on a salary basis that meets the DOL regulatory requirements?
- Have you improperly docked the employee's pay?
- Do the employee's job duties meet the definitions for the exemption categories?
- How do you calculate hours worked?
- How do you figure the average hourly rate?
- How do maintain the proper pay records?
- For tipped employees, are you handling tip pools correctly?
- Are you meeting the DOL requirements to claim tip credit?
- Are you trying to claim benefits as part of the minimum wage?
- Have you reviewed the legal guidelines for meeting the independent contractor test?