A Pennsylvania hospital and health care system is in the process of negotiating a settlement with current and former employees over alleged improper overtime calculations.
The business may end up paying out as much as $475,000 to a group of approximately 600 staff members, according to local news source the Sunday Dispatch. Although the workers involved in the legal action performed a wide variety of duties, they were all non-exempt staff under the Fair Labor Standards Act and needed to have the hours they worked tracked under that set of laws.
The use of time and attendance software can help businesses accurately record the time put in by hourly wage earners and accurately calculate payments due to them.
The lawsuit focuses on the allegedly improper use of an overtime system called "8-80," which is used in some hospital and care settings as an alternative to the common, 40-hours-per-week overtime calculation. The 8-80 setup pays workers when they put in more than eight hours in a given day or more than 80 hours across a two-week period, based on information from the U.S. Department of Labor.
Employee management software can help businesses calculate proper pay rates even when they're not using the most common overtime scheme.
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