As experienced employment law attorneys, we commonly take on cases involving wage and hour compensation issues. These issues not only cause substantial hardship for employees, but governments also end up losing out on tax revenues. This is why it is crucial for employers to conduct a self-audit if they want to avoid liability for improperly paying their employees.
What Is Wage Theft?
Wage theft occurs when an employer fails to pay a worker for all of the hours they worked. Examples of wage theft include:
- Failing to pay overtime to nonexempt employees
- Failing to pay minimum wage
- Failing to properly classify workers as employees
- Failing to report employees to state and federal agencies
If an employer fails to comply with wage and hour practices in their state, they can face expensive fines, civil or criminal penalties, and class-action lawsuits.
Conducting a Self-Audit
When starting a self-audit, employees should keep the following things in mind:
- Identify applicable laws and regulations
- Define the scope of the issue
- Develop specific audit tools
- Get your whole team on board
- Execute the audit
- Summarize the findings
- Implement the necessary changes to fix any errors you discovered
If you want to conduct a self-audit to identify any possible wage violations, you need to cover the following things:
- Employee classification
- Meal and rest breaks
- Pay practices
- Calculate the “regular rate of pay” and related overtime issues
- Off-the-clock work
- Pay equality among men and women, and employees of different races and ethnicities performing similar jobs
- Child labor practices
- Record keeping
- Wage statement compliance
- Classification of independent contractors
Speak to Our Employment Law Attorneys Today
Do you need help resolving an employment law dispute in Charleston? If so, you should consult with our skilled attorneys at Rod Smith Law PLLC to discuss the details of your case. We can assess your situation and build a strong legal strategy that will protect all of your rights and interests. Let us get to work for you today.