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Tuesday, April 7, 2026

A comprehensive audit is crucial for wage and hour compliance - HR Dive

Neil Eddington is an associate at Michelman & Robinson, LLP. His practice focuses on counseling and litigating on behalf of employers in matters involving discrimination, harassment, wrongful termination, reduction in workforce, hiring, wage and hour issues and misclassification. Views are the author's own.

No doubt about it, being an employer is not for the faint of heart. Employers must constantly navigate the headwinds of differing regulations at the local, state and federal levels, along with employee and customer demands and ongoing operational challenges.

Wage and hour laws are particularly fraught with potential stumbling blocks. Though they vary by jurisdiction, these rules provide employees the legal right to compensation if their employers fail to pay the minimum wage or overtime earnings, require work to be conducted "off the clock," overlook meal or rest breaks during the workday or misclassify employees as independent contractors or exempt employees.

When wage and hour violations are alleged, employers become exposed to severe financial consequences. This is particularly so when workers litigate claims through wage and hour class action lawsuits or other collective (read: California's Private Attorneys General Act) actions.

For these reasons — and no matter their industry — employers must do all they can to ensure compliance with applicable wage and hour laws. How can they do so? By conducting comprehensive wage and hour audits.

What's a wage and hour...



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