Ask Leslie: What Do I Do About A Wage Mistake?

By Leslie Zieren, The McCalmon Group, Inc.

My new employee, John, thinks he should have been designated as non-exempt from overtime. He submitted 15.5 hours. From what I have learned recently, I think he is right, so what should I consider when trying to rectify my mistake?

 

Retain all wage documents. Talk to local counsel. Arrange for an investigation of John's pay records. This internal investigation should be done under the attorney-client privilege.

First, consider your timekeeping systems. Make sure they are accurate. Review the procedures used when John was hired that resulted in the mistake.

Work with legal counsel to make a correction plan, including what is owed to John, like any past overtime. Hopefully, because John is a new employee, there is not too much owed.

Finally, review the matter with your attorney to determine if other employees were wrongfully classified as exempt and repeat your resolution steps.

Jack McCalmon, Leslie Zieren, and Emily Brodzinski are attorneys with more than 50 years combined experience assisting employers in lowering their risk, including answering questions, like the one above, through the McCalmon Group's Best Practices Help Line. The Best Practice Help Line is a service of The McCalmon Group, Inc. Your organization may have access to The Best Practice Help Line or a similar service from another provider at no cost to you or at a discount. For questions about The Best Practice Help Line or what similar services are available to you via this Platform, call 888.712.7667.

If you have a question that you would like Jack McCalmon, Leslie Zieren, or Emily Brodzinski to consider for this column, please submit it to ask@mccalmon.com. Please note that The McCalmon Group cannot guarantee that your question will be answered. Answers are based on generally accepted risk management best practices. They are not, and should not be considered, legal advice. If you need an answer immediately or desire legal advice, please call your local legal counsel.

 

 

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