Media Mentions
Nov 11, 2008
Ann Kotlarski Quoted in HR Magazine
"Clear Up Overtime Confusion: Knowing the Fine Points of Wage and Hour Law Can Help Determine When To Pay Overtime"
Ann Kotlarski was quoted in the October 1, 2008 issue of HR Magazine in the article, "Clear Up Overtime Confusion: Knowing the Fine Points of Wage and Hour Law Can Help Determine When To Pay Overtime." The article discussed how managing overtime properly can be a difficult task for managers who may not be aware of some of the intricacies and traps that await them within the specific area of wage and hour administration. The article notes that it's the company's responsibility to pay overtime to nonexempt workers for hours worked in excess of 40 in a week--or in some states, such as California, in excess of eight in a day--it's up to the company to classify employees properly. According to Ann, "The decision is up to you and your company, but just understand that if you're ever audited, the government will expect you to pay overtime whenever there is any doubt as to an employee's classification. If you choose not to pay overtime and classify these wobblers 'upward' into the exempt category, then the burden will be on you and your company to prove or otherwise demonstrate that they're indeed exempt from overtime pay."
Ann further noted that the biggest threat that wage and hour violations pose is that "Wage and hour violations lend themselves to class-action lawsuits. Plaintiffs' attorneys often question prospective nonexempt clients who come in looking for representation to pursue harassment and discrimination claims to see whether they worked unpaid overtime hours or skipped lunches and breaks without pay." She continued that if the answer is, "Oh, sure, we all did that every day; it was expected of us," the company could very well see a class-action wage and hour claim attached to an ex-employee's other legal charges. Ann concluded that the legal charges "...could be expensive. Calculations typically go back several years, and it's not uncommon for damages resulting from unpaid overtime plus attorneys' fees to settle in the seven-figure range, depending on the size of your company and the number of mis-classified workers."