News & Events

News & Events

4.18.2013

Wage and Hour Compliance Checklist — How to Avoid Class Actions and Prepare for a Government Audit

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Lane Powell Shareholder Mike Reilly authored an article in Seattle Business magazine’s May issue titled “Wage and Hour Compliance Checklist — How to Avoid Class Actions and Prepare for a Government Audit.” In the article, Reilly discussed tips for avoiding employee wage and hour class actions, as well as advice for preparing for government audits.

Will Rogers once said, “Everything is funny as long as it is happening to somebody else.” Employee wage and hour class actions and government audits are never funny. Just ask the president of a sheetrock company sentenced in 2012 to two years in jail, while also facing a potential fine of $3.3 million for intentionally underpaying employee overtime and union pension and benefit contributions.

Employee lawsuits alleging non-compliance with wage and hour laws are up, and the Department of Labor (DOL) is planning more employer audits to see if you are complying with wage and hour regulations. One estimate is that 70 percent of employers audited are found to have violated regulations. Are you ready? Odds are you aren’t.

Read the article (PDF).