The DOL Timesheet App and a Reminder on keeping Wage and Hour Records

The Department of Labor recently released an app for workers to independently keep track of their hours worked, wages earned and breaks taken.  According to their press release, "This app will help empower workers to understand and stand up for their rights when employers have denied their hard-earned pay."

Obviously, this raises concern that the small business owner will soon find himself or herself in a dispute with employees over conflicting time records on the worker's smart phone versus the employer's records.  

A small business owner's first line of defense?  Knowing its record keeping obligations and keeping such records in tip top shape at all times.

Employer Payroll Recordkeeping Obligations

THE FLSA

Recordkeeping requirements of many employers are governed by the Fair Labor Standards Act (FLSA 29 CFR Part 516).  See here for which employers and employees are covered.  The covered employers must keep the following records for at least 3 years:

  1. Employee's full name and social security number.
  2. Address, including zip code.
  3. Birth date, if younger than 19.
  4. Sex and occupation.
  5. Time and day of week when employee's workweek begins.
  6. Hours worked each day.
  7. Total hours worked each workweek.
  8. Basis on which employee's wages are paid (e.g., "$9 per hour", "$440 a week", "piecework")
  9. Regular hourly pay rate.
  10. Total daily or weekly straight-time earnings.
  11. Total overtime earnings for the workweek.
  12. All additions to or deductions from the employee's wages.
  13. Total wages paid each pay period.
  14. Date of payment and the pay period covered by the payment.

For more information, see this fact sheet from the DOL.

NEW YORK STATE LABOR LAWS

In addition, New York has its own laws on payroll recordkeeping, see Labor Law Section 195.

Each employer is required to maintain for not less than 6 years the following records for each week worked by its employees:

Rate of pay and basis thereof, whether paid by hour, shift, day, week, salary or piece; gross wages, deductions, allowances and net wages; for non exempt employees, regular hourly rate, overtime rate, number of regular hours worked and number of overtime hours worked.

See here for the NY DOL wage and hour law information and helpful forms.

 

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 **This post is for informational purposes only.  For actual legal advice contact a business lawyer, business attorney or business law firm**

About Imke Ratschko


Imke Ratschko is a New York Attorney helping small businesses, business owners and entrepreneurs with all things "Small Business Law," such as litigation, contracts, business owner disputes, shareholder and operating agreements, sale or purchase of a business, investors, and starting a business. You can reach her at 212.253.1027.

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