When it comes to labor law compliancy, Wage and Hour Division (WHD) investigation and litigation is on the rise. This trend is expected to impact employers even more in 2011 due to WHD’s increased staffing levels, targeted enforcement strategy and employer culpability policy, resulting in closer investigations by the WHD into employers’ compliancy efforts and higher settlements for enforcement-related legal action. However, by reviewing FLSA compliance criteria with managers, ensuring employees are correctly classified under FLSA provisions, maintaining and retaining employee identification and wage/work records, and choosing a timekeeping system that helps automate FLSA compliancy, employers can help mitigate their risk of wage-and-hour litigation in 2011.
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