OT rule deadline’s almost here: How will firms track the 4.2 million impacted workers?
With December 1 right around the corner, finance chiefs may want to know how their peers plan to track the hours of the 4.2 million affected employees the DOL expects to be punching a clock for the first time.
To that end, the American Payroll Association (APA) recently conducted a study to find out which methods employers are using to track employees’ hours.
Top tracking tools
Even with the OT regs on the table, an impressive 35.7% of employers said they didn’t need to track employees hours.
The rest of the employers from the study track their hours by:
- a desktop/laptop computer: 35.7%
- a time card or time sheet: 13.51%
- a badge/card reader: 6.23%
- a biometric scanner: 3.5%
- a smartphone: 1.9%
- a telephone: 0.9%
- a tablet: 0.27%
- a PDA: 0.09%, and
- something else: 2.09%.
3 keys to a smooth transition
It’s worth noting that the APA’s survey was released before the Dec. 1, 2016, deadline. That means the 4.2 million people the DOL expect to be impacted by the new rules could potentially be using these tools for the first time.
Punching a clock can be quite a change for many newly reclassified employees. To help, here are some things Finance can do:
Offer some flexibility. Reclassified employees may forget to log in and out for the first time if they’re doing it for the first time in their careers. After all, old habits are tough to break. Some understanding and lenience can really help during the transition period.
Make training a priority. On top of showing folks how to use timekeeping software or timesheets, offer hand-outs they can refer to. You may also want to have Payroll put together a Frequently Asked Question (FAQ) guide for trouble-shooting, how to handle mistakes or failures to clock in or out, etc. You may even want to get some of your long-time non-exempt staffers involved and help their co-workers get acquainted with the new process.
Reach out. Finally, ask Payroll or department managers to check-in with employees regularly to see how the change has been and address any problems that have cropped up.
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