Thursday, May 30, 2019

The top 10 wage and hour mistakes businesses keep making

No law causes employers more compliance headaches than the Fair Labor Standards Act. On its face it’s simple—pay employees no less than a minimum wage of $7.25 per hour (or more, depending on your state or locality), and non-exempt employees an overtime premium of 1.5 times their regular rate of pay for any hours worked in excess of 40 in any work week.

Simple on its face, yet extraordinarily complicated in application. This law costs employers billions of dollars per year in non-compliance.

For any employer, it’s way easier—and way cheaper—to be compliant with the FLSA from the beginning. Otherwise, you’ll have to scramble when an employee brings it to your attention through an expensive lawsuit or a Department of Labor investigation.

I am happy to share with you, 10 Wage-and-Hour Mistakes Small Businesses Keep Making, my first article for Gusto. While the article is geared towards start-ups and small businesses, all employers make these mistakes. And, the bigger the employer, the bigger the potential consequences. 

* Photo by HENCE THE BOOM on Unsplash