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Author: Stephen D. Hans:

Wage and Hour Regulation Pitfalls

Business owners can get themselves into trouble when not understanding wage and hours laws. What appears to be a bright idea that cuts corners and saves money is sometimes a violation that leads to costly consequences.

The Fair Labor Standards Act (FLSA) establishes minimum wages and standards for overtime pay, and federal enforcement falls under the United States Department of Labor’s Wage and Hour Division.

Some common wage and hour pitfalls that a NY employment litigation lawyer can help you avoid include:

  • Voluntary work hours. Even though employees work off the clock voluntarily past their scheduled work hours, they must receive overtime compensation for that work done. Documenting all employee work is necessary to protect your rights as an employer, and any work exceeding 40 hours, even though not at the employer’s request, must be paid.
  • Travel time. When your employees travel as part of the job, calculating work time and overtime pay can be challenging. By consulting with an experienced employment litigation lawyer, you can receive legal advice about travel policies that comply with wage and hours law.
  • Employee misclassification. Business owners must classify employees based on their job duties and hourly wages or salaries. Salaried employees generally do not receive overtime pay, whereas hourly employees do. The types of duties the employees perform are the basis for classifying an employee and in particular whether the duties include management. Classifying an hourly employee as a manager when the employee has no management responsibilities is misclassification, which can be subject to disputes and claims or lawsuits. Our attorneys can help you ensure your employees’ classifications fall within the letter of the law.

Stephan Hans & Associates can help you comply with wage and hour laws for your business in the New York City area, including Manhattan, Brooklyn, the Bronx, Long Island and Westchester.