When weather emergencies, like hurricanes or snow storms, occur and your business is affected, are you required to pay your employees? It’s not a simple yes or no answer — rather, the situation and the employees’ exempt or nonexempt status determine who should be paid and for what. Continue reading
When an employee quits their job voluntarily or is terminated involuntarily by their employer, it is important for an employer to know the rules regarding any final wages owed to the employee.
Each state’s wage and hour laws determine when and how the final payments are made. Many states have different rules for voluntary resignations and involuntary terminations. For example, some states require a check to be given at the time of termination when the termination is involuntary but don’t require final payment to be paid to an employee who is voluntarily quitting until the next regularly scheduled pay date. Continue reading
Employees in California must receive at least one day off per week (“day of rest”) under California labor law. This is not a new requirement, however the California Supreme Court recently clarified how the “day of rest” rule applies.
The court stated that employers must allow a day of rest in each workweek. The workweek is defined by each employer, generally in the Employee Handbook. The rule doesn’t indicate that the employee receives at least one day off in any seven day period. So, for example, if an employer has a workweek defined as Sunday through Saturday, an employee could have Tuesday off one week and then Friday off the following week. This means the employee would be working nine days in a row, but the employer is still in compliance with the day of rest requirement because the employee is getting one day off in each workweek. Continue reading
If an employee is working overtime without permission from a manager, what options do you have as the employer?
Under federal law (The Fair Labor Standards Act or FLSA), if a non-exempt employee works more than 40 hours in a workweek they must be compensated at a rate of one and one half times their regular hourly rate for all hours over 40 in the week. If an employee is working, they must be paid for all time worked, even if the hours were not authorized by management. For example, if an employee is scheduled for 40 hours and works 46 hours, but the 6 hours of overtime weren’t approved by the employee’s manager, the employee must still be paid for all 46 hours worked. Continue reading
Do these two policies look familiar to you? Do they resemble policies you’ve seen in employee handbooks, or which might be in your employee handbook?
- “Terminated employees will not be given their final paycheck until they have completed the exit interview and have returned all property belonging to the employer.”
- “Payday is every Thursday. However, if you are repeatedly absent on Friday, your paycheck may not be issued until Friday.”
Disciplining employees by attaching strings to their paychecks is a common practice among some employers. After all, what better way to discipline employees than by putting their paychecks at risk? But the actual risk is to the employer. Continue reading
It’s been about six months since the Department of Labor’s (DOL’s) Wage and Hour Division issued its proposed updated on overtime rules. Specifically, the agency has suggested revisions to the definition of which employees are exempt from overtime pay requirements and which are not (referred to as the “white collar exemption”).
the proposal elicited 264,093 responses during the two-month comment period. There’s no way to know how much, if any, of this feedback will find its way into the final rules, which should go into effect sometime next year. So it’s prudent to plan ahead.
The Wage and Hour Division of the Department of Labor (DOL) has recently released proposed changes to the salary threshold for overtime exemption. Under the current Fair Labor Standards Act (FLSA), in order for an employee to be considered “exempt” (meaning they are not required to be paid overtime for working more than 40 hours per week) the employee must be paid a salary of at least $455 per week. The new proposed rule would increase this salary figure to approximately $970 per week, or $50,440 per year. The new figure was set at the 40th percentile of current exempt salary employees. The proposed rule also states that the salary threshold would be adjusted annually based on the 40th percentile of wages paid each year.