Incomplete Payroll Records Lead To Employer FLSA Liability, Fifth Circuit Rules - Employment and HR mondaq.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from mondaq.com Daily Mail and Mail on Sunday newspapers.
Saturday, March 13, 2021
Employers recognize that the Fair Labor Standards Act (FLSA) requires that they pay nonexempt employees overtime wages for all hours worked in excess of 40 hours in a workweek. Additionally, the FLSA imposes recordkeeping requirements on employers regarding the hours worked by their nonexempt employees. A recent Fifth Circuit Court of Appeals decision,
Background
Five Star Automatic Fire Protection, LLC, employed 53 construction workers who would travel to client sites to install and/or repair fire protection equipment. Construction employees typically worked from 7:00 a.m. to 3:30 p.m. The company’s personnel policy required employees to record all the hours they worked. However, testimony from employees uniformly reflected that they were required to show up between 15 and 30 minutes before the start of their shifts at 7:00 a.m. and/or were either explicitly or impliedly told that they could not record their time prior to 7:00 a.m. Additiona
Monday, February 15, 2021
A recent decision from a federal appeals court highlights the perils for employers associated with lax recordkeeping of employee work hours and wage information.
It is well-established that every employer covered by the Fair Labor Standards Act (“FLSA”) is required to keep certain records for each covered non-exempt worker (i.e., those that are paid on an hourly basis and that perform duties other than professional, administrative, executive, outside sales, and certain computer-related positions). Although there is no required form for the records, they must include accurate information about the employee and data about their hours worked and wages earned. There are a variety of acceptable timekeeping methods employers can use to keep track of the hours worked by their employees. For example, they may use a time clock or they may require their workers to record their time on company timesheets. Employers may use any timekeeping method they