Overlooked pay practice that prevents legal problems
The number of pay lawsuits has skyrocketed in recent years — and there’s no sign of a let down. So now’s a good time to revisit your pay practices.
Here’s one essential pay practice that can greatly improve your firm’s chances of staying out of legal hot water.
Keep all pay records on a weekly basis. While employees’ pay is calculated on a weekly basis, many companies only keep pay records based on their own schedules (bi-weekly, monthly, etc.).
Problem: Many pay lawsuits focus on payment for allegedly unpaid work time. That’s means it’s essential for employers to accurately track all of the hours works and apply extras (overtime, time-and-a-half, etc.) to the correct workweek.
And this info can be impossible to determine when firm’s are only keeping multi-week pay records.
Free Training & Resources
White Papers
Provided by Anaplan
Further Reading
For employees on reduced schedule FMLA leave, 12 workweeks will get converted into days, hours or minutes. But that can trip up employers, ...
A new opinion letter looked at whether one company needed to add bonuses into its overtime calculations under federal law. The answer fr...
A California carwash has agreed to a $1.2M settlement to resolve wage theft allegations, according to the California Labor Commissioner’s...
Compensation is the top challenge for employers in 2025, with nearly half (44%) reporting it as their primary concern, according to a recen...
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 ...
Not all companies handle payroll records the same way. Firms may keep data in multiple systems — payroll, HR, timekeeping and the gen...