W2 Issues/Concerns

  • This field is for validation purposes and should be left unchanged.


Check out our weekly blog posts and see the latest news and discussions happening in the HR world of business.

Department of Labor can Hinder Your Future Recruiting for Past Transgressions

We all know that a Department of Labor (DOL) investigation is no fun, particularly if it doesn’t go your way and you wind up paying a hefty sum as a result. However, as one recent case reveals, the effects of a DOL investigation can stretch beyond the financial implications, with some companies now required to tell all future hires of their brush with the law.

In the case in question, Tampico Restaurant – which has locations in both Ohio and West Virginia – was investigated by the DOL over a series of pay issues, including requiring workers to participate in illegal tip pools, paying kitchen staff subminimum wage and failing to keep accurate pay records. As expected, Tampico was ordered to pay $190,000 in back-pay to employees, as well as offer training to managers about the Fair Labor Standards Act (FLSA).

However, as part of the penalty, the restaurant was also ordered to provide a copy of the investigation decision, including all evidence against the company, to every new hire through February 2017. As HR Morning notes, the financial fine was certainly tough to swallow, but having to tell future hires about their past transgression could significantly impact the restaurants ability to attract key talent.

As HR Morning notes, the DOL is growing increasingly “creative with penalties,” with one FLSA violator last year ordered to hire independent consultants charged with keeping the DOL abreast of the company in question’s pay practices. To avoid any penalties – financial or otherwise – be sure to carefully track and document all employee records, with particular attention to employee paychecks. Should a mistake occur, take steps to rectify it and document any and all fixes as this will show the DOL that you acted in good faith.

Featured BLOGS

  • HR How-to: Set Up Your Employees for Remote Work Success

    For many of us, 2020 was the year that we got to learn how to work remotely whether we liked it or not! Learning how to do it and mastering the skill of working from home are two completely different as anyone who is still struggling to make it work can attest! In this blog post, we outline a few top tips garnered from those who have long loved their home office and have figured out how to be productive, professional, and truly happy with their work from home set up. Create a designated workspace:If you live in a big

  • How Do Safety Programs Save Businesses Money?

    A while back, we published a blog post citing data suggesting that investing in a workplace safety program can actually save businesses significant money (not to mention stress!) In fact, the survey, which was conducted by the Occupational Safety and Health Administration (OSHA), found that for every one dollar investment in such a program, companies can expect to see a return of up to six dollars, which feels particularly relevant when OSHA notes that most occupational injuries are paid for directly out of company profits.  Read on below to learn how exactly such programs contribute to cost savings and how they