New wave of lawsuits: Is your Payroll department vulnerable?
There’s a alarming number of companies being hit with lawsuits for employee compensation violations. So you’ll want to check-in with Payroll ASAP to make sure your firm won’t be next.
There are several things to watch out for. Violations of state regs in the following areas are most likely to get your company in legal trouble:
- acceptable pay period lengths
- acceptable pay methods
- the timeframe in which employees must be paid
- “wages” that are considered protected, and
- how your company is required to treat vacation pay.
While all types of companies can be affected by this wave of lawsuits, multi-state employers are the most vulnerable. Keeping track of the various pay requirements from several states increases the chance for error by the Payroll department.
Readers, what steps does your Payroll department take to safeguard the company from state pay violations? Share them with us in the Comments section.
- Share on
Free Training & Resources
White Papers
Provided by Personify Health
Further Reading
The IRS has updated its specs for e-filing Form 1099. If you’re using any independent contractors, you’ll need this info as you...
Does dual-role scheduling put your overtime compliance at risk? A new DOL opinion letter says it depends on the specific facts of the arran...
How much will employers have to pay for any penalties related to tax year 2023 forms, including W-2s and other information returns? Weâ€...
To prevent tax levies, employees may enter into voluntary agreements with IRS to repay what’s owed. That means Payroll may end up withhol...
The Secure 2.0 Act of 2022 brought big retirement plan changes. But in spots, the wording wasn’t clear, leading to uncertainty among ...
The requirements for paying the prevailing wage under federal law have been slowly expanding for decades, but now, updated regs have brough...
