Overview: Determining if an employee should be classified as an independent contractor or an employee under the FLSA and IRS is a perennial issue that continues to confound many workplaces; misclassification is surprisingly common and results in costly litigation.
To further complicate matters, properly classifying an employee regarding their exempt or non-exempt status befuddles many HR professionals; employee misclassification similarly results in a long list of costly litigation, many resulting in companies owing years of back pay for overtime due to having improperly classified employees as exempt when the proper employee classification should have been non-exempt (and thereby eligible for overtime).
Other FLSA regulations and state compliance challenges pertaining to employee compensation laws include deciding whether employees must be paid for certain activities, such as meal and rest breaks or training. minimum wage laws, overtime laws, child labor, and recordkeeping are additional aspects of FLSA compliance, most of which have variations by state.
Trends: Of concern to employers, not only are employees continuing to file FLSA lawsuits at a rapid pace but also the U.S. Department of Labor has stepped up its enforcement of employee compensation laws. So it's more important than ever to ensure compliance with this law.
Author: Michael Cardman, Legal Editor
Two new entries have been added to the Legal Timetable, and the Employment Law Manual and a Quick Reference Chart were updated to reflect the announcement of an upcoming inflation adjustment to Washington's minimum wage.
In-depth review of the spectrum of Washington employment law requirements HR must follow with respect to minimum wage.
Many states have minimum wage requirements. This Quick Reference chart sets forth the state minimum wage rates for all 50 states plus the District of Columbia.
Employers seeking to educate employees about meal break requirements and inform supervisors about the need to provide meal breaks or opportunities to eat a meal while working should consider including this model policy statement in their handbook to communicate the employer's Meal Breaks policy to employees.
Employers that employ minors under age 16 and seek to inform employees under age 16 and their supervisors about legally-required meal breaks should consider including this model policy statement in their handbook to communicate the employer's Meal Breaks for Employees Under Age 16 policy to employees.
An employer seeking to show their compliance with Arkansas' law requiring employers to provide unpaid break time and reasonable locations for employees to express breast milk should consider including this model policy statement in their handbook to communicate their Lactation Accommodation policy to employees.
Employers who maintain a retail establishment in Maryland with at least 50 or more retail employees or who owns one or more retail establishments with franchises working with the same trade name and has at least 50 or more retail employees in Maryland for each working day in each of 20 or more calendar seeks in the current or preceding year should consider including this model policy statement in their handbook.
Employers with four or more employees that have nonexempt employees who work an excess of 40 hours in a week or more than eight hours in a workday should consider including this model policy statement in their handbook to communicate the employer's Overtime policy to employees.
HR and legal considerations for employers regarding employee compensation laws. Support on following rules and regulations regarding this topic.