Payroll concerns addressed
Most states have specific requirements concerning the payment of an employee’s last paycheck. Failing to give an employee their last check can leave your business with an unpaid wage claim by the employer, leading to penalties and fines from the state Department of Labor.
So what if an employee leaves and is in possession of company property, such as a cell phone, pager, laptop, etc? The State says the payroll department can make deductions from the final paycheck, as long as the deductions do not bring the wages below the state’s minimum wage or federal minimum wage, whichever is higher, for the hours the employee worked.
Payroll is complex, PEP makes it easy
Payroll has to be very careful not to violate these Department of Labor laws. If the Wage-Hour department finds your business has violated the minimum wage requirements “repeatedly or deliberately”, it can mean criminal prosecution and a $10,000 fine. A second violation after the fine can lead to a prison sentence, potentially shutting down your company. These violations are the ones the Wage-Hour department considers intentional or grossly negligent on the company’s part, not inadvertent or accidental.
Payroll is a complex issue, and PEP has a team of devoted, trained, skilled professionals ready to answer your and your employee’s questions. PEP will ensure that these Department of Labor and Wage-Hour violations never have a chance to occur, keeping your company’s good name preserved for years to come. This is just another reason employee leasing works for you.
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