Overtime

Dunkin’ Do-nots labor practices

Dunkin' Donuts franchises have been cited several times over the years for violations of labor laws. If you run a business that hires hourly shift workers or minors, pay particular attention so that you don't run afoul of these laws yourself. Here's a summary of the violations: Wage theft in 2016: for changing employees' time [...]

Must you pay for pre- and post-shift work?

The Department of Labor (DOL) assessed Area Wide Protection Inc., dba Roadtek Traffic Solutions LLC, $112,187 in back wages and an equal amount in liquidated damages to 297 employees based in Virginia, North Carolina, and Pennsylvania. The employees had to report to the office to complete tasks before and after their shifts. Tasks included flagging, [...]

Sign-on bonuses may need to be included in OT calculations

Home health company owed $25K after DOL investigation Getting employees in the door with sign-on bonuses can help a company through a hiring crunch, but a new employee's bonus may need to be included in the regular rate of pay for overtime purposes. In fact, the Department of Labor (DOL) has been checking for compliance [...]

May 12th, 2022|compensation, Fair Labor Standards Act (FLSA), Overtime|

Country club penalized for not including commissions in OT calculations

Belle Meade Country Club in Nashville TN violated the overtime provisions of the Fair Labor Standards Act and had to pay 12 workers $93,750 in back overtime wages and damages. Employees--who provided lessons, merchandise sales, and equipment services to members and guests of the Club--didn't receive the proper overtime pay because commissions were not included [...]

March 25th, 2022|compensation, Fair Labor Standards Act (FLSA), Overtime|

Teen worked hours that weren’t allowed by law

A 14-year-old youth was allowed to operate power machinery while helping with repairs. The youth also worked while school was in session. In addition, employees of all ages didn’t receive the proper overtime pay. For these violations of the child labor and overtime provisions of the Fair Labor Standards Act, AutoWorld of Conway SC had [...]

February 17th, 2022|Fair Labor Standards Act (FLSA), Overtime|

OT issues put firm on wrong side of the law

Slocumb Law Firm LLC in Auburn AL paid $26,496 in back wages and damages to 42 workers for violation of the recordkeeping and overtime provisions of the Fair Labor Standards Act. The employees didn’t receive overtime pay when they worked more than 40 hours during a workweek. The law firm also didn’t keep accurate records [...]

New job responsibilities? Court case is reminder to reassess exempt status

Worker claimed employer's violations were "willful" When an employee's job responsibilities shift, perhaps as part of a company reorganization, it's important to ask: Does that person's exemt or nonexempt status in the payroll system need to change? One New York company had to defend itself in a Fair Labor Standards Act (FLSA) lawsuit because a [...]

September 10th, 2021|Fair Labor Standards Act (FLSA), Overtime|

Grocery store fails to pay workers correctly for OT

Employer: Supermercado Lomabonita, St. Paul MN Business: Grocery store Law broken: Overtime provision of the Fair Labor Standards Act Type of violation: The employer didn't combine hours employees worked at multiple store sites during the week, meaning they weren't paid overtime for hours worked over 40. In addition, some workers were incorrectly classified as exempt [...]

July 16th, 2021|compensation, Fair Labor Standards Act (FLSA), Overtime|

Restaurant docked exempt workers’ pay, lands in hot water: Here’s why

Restaurant docked exempt workers’ pay, lands in hot water: Here’s why Franchise paid nearly $80K in back wages and damages Payroll pros must proceed with caution when handling deductions from workers’ pay, especially if they’re classified as exempt. If deductions aren’t handled properly, employers may end up on the hook for thousands in back wages [...]

August 22nd, 2019|Overtime|

Thrift store chain didn’t pay workers for short breaks & OT owed $114K

Thrift store chain didn’t pay workers for short breaks & OT owed $114K When brief rest periods are considered compensable. It’s important to pay employees correctly for all hours that count as time worked, including compensable break time. After a Dept. of Labor (DOL) investigation, one branch of a national thrift store chain came under [...]

July 24th, 2019|Overtime, Recordkeeping|