Understanding the Fair Labor Standards Act
Are you familiar with the Fair Labor Standards Act? If not, you should be. No one wants to worry about a Department of Labor audit. Each organization should make a point to learn about labor laws that affect them
- Review your compensatory time off policy. Exempt employees should not receive comp time since they are not eligible for overtime pay. Non-exempt employees can only receive comp time if it's instead of overtime pay and taken in the same workweek.
- Review your travel time policy. Non-exempt employees usually must be compensated for work-related travel time.
- Train all your staff about the laws and make sure front-line management is empowered to enforce compliance.
- Designate someone to monitor compliance.
- Make periodic audits, and issue regular reminders. If the worst case scenario happens and your program is audited by Department of Labor, you will be prepared.
- Be cooperative. Provide the auditors with everything they ask for, but don't provide anything they don't ask for.
- Give the auditors a place to work in your conference room, but don't let them enter your payroll or human resources office where files are kept.
- Let your attorney know, but don't involve the attorney unless you're charged with a violation.
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