W2 Issues/Concerns


Blog

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

House Passes Bill that Would Swap Overtime Pay for Comp Time

The House recently passed the Working Families Flexibility Act of 2017, which would allow private sector employers to offer up to 160 hours of comp time in lieu of paying workers time-and-a-half for overtime. A similar bill has also been introduced in the Senate.

Under the legislation, employers would also be required to pay workers for their unused time, but the rub here is that they only have to pay them out at their regular pay level (versus at the time-and-a-half rate that they would have been paid had it originally been classified as overtime).

Where this presents a major headache for HR reps is that employees do not have to take this option. Rather, they can choose to opt in to the comp time and employers cannot force workers to accept the paid time off option. Therefore, any one company may have none, one or even all employees choose the comp time option, or vice versa. 

Supporters of the legislation – which is commonplace in the non-private sector – suggest that it could benefit employers by allowing them to save on overtime pay, while allowing employees to add more vacation time to achieve a better work/life balance. However, critics claim that it opens the door for companies to cheat employees who work long hours out of better wages.

To learn more about the bill, click here.

HR Managers: Discover how to effectively tackle business challenges with a PEO
Small Business: Discover how Abel HR can help your business.

Featured BLOGS

  • It’s Almost Holiday Time: HR Pitfalls to Think About (Awareness stage, small biz)

    Big-box stores already have Christmas decorations out among the Halloween décor, so this is a reminder that it is time to start planning the annual holiday party. The time-honored tradition of the company holiday party is an opportunity to not only thank your team for another 365 days of top-notch service (and your clients), but also time to boost morale and forge friendships between co-workers that might not otherwise have cause to interact on a day-to-day basis. Now, that’s not to say that there isn’t pitfalls to getting employees together after hours. We’ve all heard the horror stories about someone

  • What is the Key to Employee Retention?

    A staggering 3.5 million Americans quit their job EACH MONTH in 2008—marking the highest rate of turnover since the oh-so-fun recession of 2001, according to a recent report from the National Bureau of Labor Statistics. Further, analysts believe that the trend will continue as workers continue to grow weary with stagnant wages and the threat of yet another economic recession. Luckily, LinkedIn dug in its heels and flipped the tables, this time to figure out what makes workers want to stay. Topping that list, rather surprisingly, was the concept of continued learning. Indeed, 94% of workers suggested that they would

Archives

FSA | Commuter New Employee Abel Portal Time Clock