Forework was established by a wage and hour attorney that spent more than 10 years in litigation, defending businesses that were sued by employees who claimed they were paid incorrectly. While payroll technology has been on the market for decades, seemingly streamlining and simplifying the process of paying employees, the fact is that the technology had not kept up with the wage and hour laws and regulations.
Time after time, employees were suing as a group, or a “class,” because there was one or more alleged systemic and constant errors in how they were being paid by their employer. As the employees claimed, that error often resulted in the employee not being paid the full compensation that was due to them under the law.
Here, we’ll focus on little-known New York labor law regulatory requirements, referred to as spread of pay, split shift pay and call-in pay. These requirements apply to non-exempt, overtime-eligible, employees who work in virtually all types of businesses in New York.
While Forework has developed attorney-backed formulas for computing wages correctly to account for the nuanced spread of hours, split shift or call-in pay requirements, employers must be aware of these requirements and ensure that their current payroll provider indeed addresses the requirements fully. Failure to do so could not only lead to expensive litigation, but it might also result in overpayment of wages in some cases.
Call-in pay
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