Tag: Overtime Pay

Cracking the Code: Adding Bonuses to FLSA Overtime Calculations

The Fair Labor Standards Act (FLSA) requires employers to pay overtime to nonexempt employees based on their regular pay rate and the number of hours worked in a workweek. While this sounds straightforward on paper, employers commonly fail to realize that nondiscretionary bonus payments must be included in calculating the regular pay rate and, ultimately, […]

Case Study: DOL Dings Asheville Company for Overtime Pay Violation

A common question from employers is whether they can use a “comp-time” system instead of making monetary overtime payments. The answer (unless you are a public-sector employer) is almost always “no.” A company in Asheville found that out the hard way when it was investigated by the U.S. Department of Labor (DOL) for alleged failure […]

Risk of Employees’ Losing Exempt Status Rises During Times of Short-Staffing

In times of short staffing, it’s important to remember exempt employees may lose their exempt status if they spend too much time performing nonexempt work. A recent ruling by the U.S. District Court for the District of Minnesota serves as a stark reminder that exempt employees may perform nonexempt work but only if their primary […]

payroll

The Juggling Act of Salary Planning for 2020

It’s HR’s favorite time of the compensation cycle when organizations begin thinking about their salary budgets for the coming year. This year’s planning will take into account the recent release of the new Fair Labor Standards Act (FLSA) overtime rule and, in some states, new or upcoming changes to the minimum wage. Between compliance with […]

Santa May Owe His Elves Overtime on Those Year-End Bonuses

The December holidays and year-end pay issues raise a number of wage and hour and leave challenges for employers. Many businesses give holiday gifts or year-end bonuses to their employees. If the bonuses aren’t handled properly, you could expose your company to overtime liability. How does holiday pay affect overtime liability, and what happens if […]

class action lawsuit

Misclassification Alone Is Insufficient for Class Treatment

Are certain classes of your employees routinely working overtime? If so, are they properly classified as exempt or nonexempt? Wage and hour class actions continue to be large thorns in the sides of many employers, and this recent decision serves as a good reminder of how critical it is for you to review your overtime […]

FLSA: Exotic Dancers Are Employees, Not Independent Contractors

By Kevin C. McCormick The U.S. Court of Appeals for the 4th Circuit—which covers Maryland, North Carolina, South Carolina, Virginia, and West Virginia—recently held that a group of exotic dancers are employees under the Fair Labor Standards Act (FLSA), not independent contractors. Consequently, the dancers are entitled to minimum wage for all hours they work […]

Supreme Court issues number of important employment rulings

by Sean D. Lee The U.S. Supreme Court’s October 2015 term ended in late June 2016. Employers and federal contractors should take note of several recent decisions that affect businesses nationwide across a broad range of areas, including employment discrimination, affirmative action, and overtime exemptions.   Green v. Brennan In Green v. Brennan (May 23, 2016), […]

Employers need to be ready for new overtime rule by December 1

The flurry of speculation is finally over. The White House and the U.S. Department of Labor (DOL) have released the new final rule governing which workers must be paid overtime. The changes aren’t quite as drastic as what employers were preparing for based on the contents of the proposed rule made public last summer, but […]