Missed payroll results in company owing $200K
When employees didn’t get their paychecks when they were supposed to, it set off a chain of events that led to a health service company owing a sizeable amount in back wages.
According to a Department of Labor investigation, when Cogburn Health Services missed its payroll and failed to pay workers on their scheduled payday, it resulted in the company failing to pay the required minimum and overtime wages. And that’s something the agency has been coming down hard on companies for.
The Result: The company was required to pay $202,634 in back wages. In addition, Cogburn agreed to establish a payroll reserve to make sure its employees are always paid on a timely basis in the future.
- Share on
Free Training & Resources
Webinars
Provided by Yooz
Further Reading
How much will employers have to pay for any penalties related to tax year 2023 forms, including W-2s and other information returns? Weâ€...
The higher overtime salary threshold that kicks in on July 1 will affect a million-plus salaried exempt employees. And it’s good news...
Low-dollar-amount errors that appear on Form W-2 won’t lead to penalties. That’s the official word contained in final regulations from ...
The Treasury Department and Internal Revenue Service (IRS) released proposed regulations for the new 1% excise tax on remittance transfers ...
The Department of Labor (DOL) has been planning for over a year to revise its overtime exemption regs, with May as its latest deadline. So ...
IRS told one employer that payments made to employees under its fixed-indemnity health insurance policy were subject to federal income, FIC...
