compensation

Delivery drivers owed mileage reimbursement

Sandwich shop franchises (Clemson Subs LLC and Anderson Subs LLC in Anderson, SC) was found to have broken the minimum wage provisions of the Fair Labor Standards Act by failing to reimburse employees for mileage. Employees who delivered food weren’t reimbursed for their mileage expenses, which caused their pay to fall below the federal minimum [...]

February 8th, 2022|compensation, Fair Labor Standards Act (FLSA), reimbursement|

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 [...]

Massachusetts Minimum Wage Increase

On January 1, 2022, the Massachusetts state minimum wage will increase to $14.25 per hour. The minimum base wage for tipped employees will increase to $6.15 per hour.Premium pay applies to certain holidays in MA. Click here and here for more info.If you have employees earning minimum wage, you must send us a change form with the new pay rate for [...]

December 28th, 2021|compensation|

Paying employees for military leave

Employers may want to evaluate their paid leave policies for workers who serve in the military after the outcomes of two recent court cases. Two different service members sued their employers when they weren't paid for absences related to military service, but other employees received paid leave for various reasons. In each case, a district [...]

October 29th, 2021|compensation|

Misclassifying workers cost employer $358K

Servant's Quest in Oliver Springs TN, a home health care business, paid $358,675 in back wages to 50 workers. They were found in violation of the overtime provisions of the Fair Labor Standards Act (FLSA). Servant's Quest misclassified caregivers as independent contractors and paid them straight-time rates for hours worked over 40 in a workweek.

Switching payroll cycles? Here’s how to make sure you’re in compliance

Recent lawsuit shows employers right way to make the change It's sometimes necessary to change your pay cycle. In this situation, it's key to proceed with caution. Along with any compliance and legal issues that may arise due to state prompt-payment laws, you'll have to address workers' concerns about their checks. One company's pay change [...]

August 21st, 2021|compensation, Fair Labor Standards Act (FLSA)|

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|

Bonuses: how one company’s murky system landed it in legal trouble

Dispute over whether payment was actually discretionary If a bonus is meant to be discretionary, it's key that its terms meet all the requirements set by the Department of Labor (DOL). Otherwise, employers could run into problems. One employer claimed it gave its workers a discretionary bonus, but the circumstances behind it suggested otherwise. Was [...]

July 1st, 2021|compensation|