The high cost of wage and hour violations for employers

The MTSG View

On business, the workplace and employee relations

June, 2008

The High Cost of Wage and Hour Violations

Recently, the Massachusetts Legislature passed a bill calling for triple damages for violations of the state's wage and hour law, regardless of whether an employer intended to violate the law The law carries with it a more stringent penalty provision than the one in the federal Fair Labor Standards Act (FLSA), which states that an employer can be held liable for double damages for wage violations unless it can prove that it made a good-faith effort to comply with the law After the Massachusetts law takes affect in mid-July, employers may see a spike in the lawsuits related to unpaid overtime and tip pooling

This is the first bill of its kind to pass nationwide While it is unclear whether other states may follow suit with similar legislation, the passage of this law drives home an important reminder: A worker is entitled to the protection of his or her state law or the federal FLSA, whichever is greater That means that employers need to stay abreast of developments concerning the FLSA and their particular state's wage laws

To ensure your compliance with state and federal wage and hour laws, visit the websites for your state's labor department and the US Department of Labor regularly for important notices concerning wage and hour laws

Also, consider conducting a self-audit of your pay practices to ensure that you are properly compensating "non-exempt" employees, ie, those who are entitled to overtime If you employ workers whom you have deemed exempt from overtime because of their responsibilities, review their job descriptions to make sure that they really are exempt in the eyes of the law For instance, do they regularly supervise two or more employees? Is managing their primary duty? Do they make decisions concerning the hiring, firing, promotion, or other assignment of workers? Adjust workers' job descriptions and, in some cases, compensation classifications to accurately reflect their status as needed

In addition, don't duck your obligation to pay overtime by wrongly classifying non-exempt workers as independent contractors A court will most likely view this as an intentional act That could put you on the hook for substantial penalties Generally, a worker is an "employee" if his or her employer maintains substantial control of the manner in which the work is performed, the worker's services are integral to business operations, and the worker does not have a great deal of independent control of his or her work

Finally, train front-line managers on your pay practices Ensure that hourly workers clock in before starting work and clock out when they finish working And, of course, consult with an attorney in your state if you're unsure about whether you're in compliance with state and federal laws

Job-Hunting Tips for a Down Economy

Looking for a job is almost always a daunting process Looking for a job in a weakened economy is even more of a challenge But just because the job outlook may be bleaker than usual jobseekers shouldn't panic There are still jobs out there, perhaps just not as many

Keep in mind that when supply is high and demand is low, employers may not advertise open positions via traditional channels, such as online job-posting boards or through old-fashioned classified ads in the local newspaper Therefore, it's important to focus on building your network Tell everyone you know that you're looking for a job and if you're not already a member, join a trade organization

Because companies may be less likely to actively recruit during tough economic times, it's important to seek out information about employers for whom you want to work Set up informational meetings with prospective employers' HR departments to find out what types of jobs may be available and how to go about applying for them Visit companies' websites to learn about the corporate structure You may even find contact information for hiring managers there Don't be afraid to use that information to get in touch with managers to express a general interest in working within their respective departments

You'll find many benefits to attending some industry-specific conferences For starters, you'll stay abreast of current developments concerning your line of work and you'll have the chance to talk up your expertise with other attendees Many of them may be the hiring managers for prospective employers

On the resume front, highlight your cross-over skills In a burgeoning economy you'll probably look for jobs within one sector of an industry But when times are tough, you may have to extend your search across sectors and industries To achieve a good balance, highlight your achievements and place less emphasis on your past job titles and the industries in which you worked Ask yourself what the results of your achievements have been Then use active verbs and keywords to highlight how and why your achievements could be used to support employers across industries

If you're concerned about whether the job outlook is bleak for a specific occupation, visit the US Department of Labor's Bureau of Labor Statistics to view the Occupational Outlook Handbook (2008-09 Edition) This publication contains job-outlook data for hundreds of jobs By visiting http://wwwblsgov/oco/homehtm you can find out how many individuals nationwide were employed in a specific field in 2006 and how many individuals most likely will be employed in that field by 2016 Use this information to determine whether you should invest in obtaining additional training or education in a given field

Each state also publishes detailed information on occupations and labor markets For a listing of each state's labor and workforce development office, visit http://wwwblsgov/oco/oco20024htm

 

Is Bringing Your Baby to Work Really an Option?

More companies are allowing workers to take part in the growing trend of bringing their newly born babies to work A baby-friendly policy can have a positive impact on a new parent, his or her baby, coworkers, and the workplace

According to the Parenting in the Workplace Institute, which provides support, resources and objective analysis concerning parenting-in-the-workplace programs, most babies that are brought into the workplace are a few months old-generally six to eight months old-and they continue to attend work with their parents until they begin to crawl

The Institute also notes that generally, where a structured program is in place, babies tend to adapt to their surroundings relatively well To keep babies mellow, working parents should strive to maintain a physical proximity to their babies while at work; set aside time for social interaction; and tend to their babies' needs as soon as possible

If you're thinking about approaching your employer about offering a bring-your-baby-to-work program, here are some talking points to help sell your idea:

• By letting you bring your baby to work, you'll be able to return to work quicker and can more easily get back into your daily work routine
• The program may help boost workers' loyalty to the company, thus, boosting your employer's retention rates
  
• The benefit most likely will be three-fold-it's good for you and your baby, it's good for business and it's a way to build camaraderie among coworkers

Keep in mind, too, that while some employers may want to accommodate your request, some can't because of the nature of their business For instance, food-service providers and emergency-responders most likely would not be able to allow babies at work for a variety of safety and logistical reasons Other than that, though, most employers should be able to accommodate your request So, if you work in some sort of an office-based environment, it's worth a shot to approach your employer about letting you bring your baby to work

Once your request is granted, there are a number of resources to which you and your employer can turn for advice on hammering out what's expected of you On its website, the Parenting in the Workplace Institute offers a free downloadable sample policy, along with a fact sheet on how more than 80 companies have allowed about 1,000 babies to report to work with their parents Visit http://wwwparentingatworkorg/policy_overviewhtml for more information

Biking Saves Bucks

Who cares what it costs for a gallon of gas You've got wheels! Bike wheels, that is If you live within a reasonable distance of where you work, it may be time to enjoy the wind on your face and smug satisfaction as you peddle past the gas station Here are some basics of biking to work, courtesy of Commute By Bike (http://commutebybikecom/), a helpful web site for commuters who've had enough Don't forget your helmet

Check the weather nightly Keep an eye on your local weather so you can plan to dress for the temperature and precipitation

Wear your normal clothes Do you really want to arrive at the office in full-body spandex? Unless you wear Armani at work, your normal attire is probably fine for the bike Protect your pants leg from getting caught in the chain and you should be fine

Plan your route ahead of time The roads you take to work by car may not be suitable for bike travel You can probably find several alternatives with some research Use a tool such as Google Maps to plan a route that avoids dangerous roads and is a more pleasant ride

Store hygienic necessities at the office Keep an extra of everything you need to clean up from your commute (deodorant, towels, wipes, etc) at your office No need to lug them back and forth each day

Always carry flat repair materials A small investment in a seat bag, backpack or saddle bag will allow you to store an extra bike tube, tire levers, patch kit, pump and hex wrenches that you can keep on your bike If your tire goes flat on the ride, you can change it without ever touching a tire iron or car jack If you don't want to deal with bike repair at 7 am, bring your cell phone and call a friend They're like AAA for bicycle riders

Check your bike every weekend Regular riding will cause wear on certain parts of your bike that you'll want to monitor Notice your tire pressure and any wear or damage Check your brakes where the rubber meets the wheels and the break grips Feel your bike chain for still links, rust and dryness