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Is Your Business Prepared to Pay $125,000 in Fines from a Wage and Hour Audit?
Date:8/23/2013

Duluth, Georgia (PRWEB) August 23, 2013

It’s never good news when the federal wage and hour division investigator turns up at a business after a worker complains. Owners can wind up mired in red tape – and on the hook for thousands of dollars in fines, even if they're doing their best to follow the regulations. For instance, according to a press release on the DOL's website published August 20, 2013, a company in Orlando, Florida was "found in violation of the Fair Labor Standards Act’s overtime and record-keeping provisions." This company agreed to pay nearly $125,000 in back wages for these violations.

These investigations increase every year. In one year alone, the Labor Department launched 32,000 actions against employers, forcing businesses to disgorge more than $170 million in back wages. The Fair Labor Standards Act, or FLSA, is what the Labor Department is enforcing. It sets national standards for minimum wages, overtime pay, recordkeeping, and child labor. Small businesses need to pay attention to the guidelines just as much as larger ones do.

“Everyone sees the headlines about fines in the millions for large companies, but small companies also can face stiff fines that could conceivably hurt them even more than a larger company,” said Will Beesley, VP of HR Strategies, based in Duluth, Georgia.

HR Strategies is a professional employer organization, or PEO. Small and medium-sized businesses turn to PEOs to handle complicated human resourc
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