Wage & Hour: WHD

The body of law that governs the employer-employee relationship, including individual employment contracts, the application of tort and contract doctrines, and a large group of statutory regulation on issues such as the right to organize and negotiate collective bargaining agreements, protection from discrimination, wages and hours, and health and safety. Download a Free Report on Wage & Hour
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FLSA in 2015—Danger Zones

FLSA lawsuits are at an all-time high, and this is the seventh consecutive year of increases. Why the change? Attorney Charlie Plumb explains.


Once More with Feeling … and Paying

Other than paying the minimum wage, paying overtime is the most basic wage/hour rule there is, yet here are companies like Shell Oil and LinkedIn paying penalties of $4.6 and $6 Million. A word to the wise?


The 10 Most Costly Management Mistakes—and How to Avoid Them

"Attorney Aaron Zandy, SPHR, uses essentially this opening statement at the beginning of every trial. But, he says, “sometimes it’s easier than others.” Here’s the statement:"

“It’s a case of perception vs. reality. The plaintiff perceives he (she) was disciplined, retaliated against, and harassed.  The reality is different. He (she) was terminated for a legitimate, non-discriminatory, non-retaliatory reason by a professional, well-trained manager with supportive documentation.”


Best Practices from Former Wage and Hour Administrator

"SPECIAL from SHRM Annual Conference and Exposition, Orlando In yesterday’s Advisor, Attorney Tammy D. McCutchen offered tips for avoiding wage and hour lawsuits and charges. Today, McCutchen, former administrator of the wage and hour division at the Department of Labor and principal at the Littler Mendelson law firm in Washington, D.C., offers best practices."

Timekeeping and Payroll Best Practices

McCutchen suggests HR managers pay attention to the issues below. McCutchen made her comments at the SHRM Annual Conference and Exhibition, held recently in Orlando.

Causes of Off-the-Clock Claims

  • Paying shift time
  • Failing to capture pre- and postshift work (booting up time, preshift meeting time, etc.)
  • Automatic deductions for unpaid meal breaks
  • Exception time reporting
  • Paper timesheets
  • Inconsistent time and payroll records


Performance Appraisals—10 Most Common Sins

"Performance appraisals—love them or hate them, it’s easy to make expensive mistakes. We’ve collected the most common errors of managers and supervisors who conduct performance appraisals. We call them the “10 Sins.”"

Sin #1. Failure to set meaningful goals

“Well, Sandy, I think we did fairly well this year, eh?”
“Tracy, I was sort of hoping you’d make more progress this year.”

Evaluation is difficult when there aren’t clear, measurable goals. Many experts recommend the S-M-A-R-T approach to setting goals. That means goals should be:


Top 10: Compensation & Benefits Daily Advisor

"Here’s a list of the top 10 posts on the Compensation & Benefits Daily Advisor so far this year."

9 Thinks You MUST NOT Include in Your Documentation

Yesterday’s Advisor presented Attorney Franck Wobst’s key things you should include in documentation. Today, 9 things not to include, plus an introduction to Employee Compensation in Your State.


Must Employers Pay for Commute Time When Telecommuters Have to Come in?

It’s prudent to pay close attention to travel pay regulations because travel-related issues pose a significant risk for wage and hour claims. This is, unfortunately, an often-overlooked area.


Avoid Legal Jams on the Wage and Hour Highway

"Pay for travel time is an ongoing challenge for most comp and benefits pros. Different wages for travel and work? Nonexempts travelling overnight? When commuting ends and work begins? Attorney Robert Wenbourne sorts it all out."

Regular Commuting

The time employees spend commuting to and from their regular place of work each day is not work time. (But the same standard may not apply to an accident on the way to work, where there could be issues under workers’ compensation or vicarious liability theories, cautions Wenbourne.)


Wage and Hour Simple? The 10 Sins

"Minimum wage and overtime—how hard could it be? Wage and hour should be simple, but it’s just not. Where are the 10 most common “sins” managers and supervisors commit in complying with the “simple” rules?"

Sin #1. Failure to pay the minimum wage

We’ll pay you $5 an hour until you learn the ropes; then you move up to $7 an hour.

Virtually all employees are entitled to receive at least the minimum wage (the federal minimum wage is $7.25 per hour; many states have higher minimum wages) for all hours worked. Special arrangements may be made for waitstaff (although their tips have to put them above the minimum wage) and for certain training situations.


10 Tips for Avoiding Wage and Hour Investigations

"In yesterday’s Advisor, BLR Legal Editor Susan Prince, JD. offered her take on the Department of Labor’s (DOL) wage and hours audits. Today, Prince’s 10 strategies for dealing with the audits, plus an introduction Compensation.BLR.com and an exclusive free FLSA checklist."

Prince’s 10 Strategies

The following are 10 great strategies to prevent or handle a wage and hour investigation:

  1. Avoid unfair compensation practices. Make sure employees are compensated in a consistent manner. If an employer’s pay practices are consistent, complaints are less likely to arise, and the employer will be in a better situation if the DOL does launch an investigation.
  2. Understand the regulations. It is important that employers take the time and make a concerted effort to understand and familiarize themselves with the FLSA. It is the law, and if employers fail to follow the law they may face litigation or a DOL audit.
  3. Train managers. Train managers so they are fluent in the language of the FLSA.
  4. Analyze state vs. federal law. Determine whether the state’s wage and hour laws conflict with federal law, then follow the law that is most beneficial to the employee.
  5. Pay past overtime due. If it is determined that an employee is wrongly classified as exempt, the employer should determine how many overtime hours the employee has worked in the past 2 years, then pay the employee the overtime due. The employer should also have the employee sign a release to free the employer from further liability. Paying past overtime due to employees now will be far less expensive than paying them in a DOL settlement.
  6. Respond to internal complaints expeditiously. If an employee files a wage and hour complaint internally, the employer should take it seriously. Since many investigations are prompted by an employee’s complaint, employers might be able to prevent an investigation by addressing an employee’s initial internal complaint.
  7. Seek compliance assistance from the DOL. Varied compliance tools and information are available on DOL’s website.


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