Is It OK To “Round” An Employee’s Worktime?
November 30, 2012 01:00
by John E. Thompson
For many years, some employers have chosen to “round” non-exempt employees’ time entries in computing their wages. News items in recent days have reported on a California appellate court’s ruling in See’s Candy Shops, Inc. v. Superior Court and Silva that a properly administered “rounding” practice does not violate California wage-hour law.
It is first necessary to attach a common understanding to the term “rounding”, because the word is used to describe a multitude of different practices. This can be done with reference to the U.S. Labor Department’s enforcement policy that played a central role in See’s Candy. USDOL says that, under the FLSA, it will not challenge an employer’s practice of rounding a worker’s starting and stopping times to the nearest 5 minutes or to the nearest tenth or quarter of an hour in calculating his or her pay, assuming that the practice “averages out over a period of time” such that employees are properly paid for all of their worktime. See, e.g., 29 C.F.R. § 785.48(b).
Read the remainder of the Article at my partner and wage-hour wizrd, John Thompson’s Blog (along with Lawrence McGoldrick and other F & P attorneys)
I am a Senior Partner operating out of the Atlanta office of Fisher & Phillips LLP, one of the Nation’s oldest and largest management employment and labor firms. My practice is national and keeps me on the road or in one of our 28 offices about 50 percent of the time. I created and co-chair the Firm's Workplace Safety and Catastrophe Management Practice Group. I have almost 29 years of experience as a labor lawyer, but rely even more heavily on the experience I gained in working in my family's various businesses, and through dealing with practical client issues.
Employers tell me that they seldom meet an attorney who delivers on his promise to provide practical guidance and to be a business partner. As a result, some executives probably use different terms than “practical” to describe my fellow travelers in the profession.
I don't enjoy the luxury of being impractical because I spend much of my time on shop floors and construction sites dealing with safety, union and related issues which are driven by real world processes and the need to protect and get the most out of one's most important business assets ... its employees. That's one of the reasons that I view safety compliance as a way to also manage problem employees, reduce litigation and develop the type of work environment that makes unions unnecessary. Starting out dealing with union-management challenges and a stint in the NLRB have better equipped me to see the interrelationship of legal and workplace factors.
I am proud also of my experience at Fisher & Phillips, where providing “practical advice” is second only to legal excellence among the Firm’s values.
Our website lists me as having provided counsel for over 225 occasions of union activity, guided unionized companies, and as having managed approximately 450 OSHA fatality cases in construction and general industry, ranging from dust explosions to building collapses, in virtually every state. I have coordinated complex inspections involving multi-employer sites, corporate-wide compliance, and issues involving criminal referral.
As a full labor lawyer, I oversee audits of corporate labor, HR, and safety compliance. I have responded to virtually every type of day-to-day workplace inquiry, and have handled cases before the EEOC, OFCCP, NLRB, and numerous other state and federal agencies. At F & P, all of us seek to spot issues and then rely upon attorneys in the Firm who concentrate on those areas. No tunnel vision. I teach or speak around 50 times per year to business associations, bar and professional groups, and to individual businesses. I serve on safety committees at three states’ AGC Chapters, teach at the AGC ASMTC