DOL finds improvement in Louisiana childcare payroll practices

The U.S. Department of Labor recently announced that its work in Louisiana childcare industry is paying off, as the percentage of employers found in violation of the Fair Labor Standards act has significantly dropped over the past year.

In 2011, an investigation by the Wage and Hour Division found 81 percent of childcare providers in the area were violating FLSA provisions. So far, visits to businesses this year have uncovered illegal practices in just 57 percent. Common malpractices in the sector include employee misclassifications that result in unpaid overtime, a failure to pay workers for training time attendance and failing to keep adequate records.

"Several employers reported to us that, after hearing news in 2011 about the division's multiyear enforcement initiative, they took immediate steps to review their pay practices and come into compliance with the FLSA," said regional administrator Cynthia Watson, for the Southwest Wage and Hour Division.

Still, violations revealed during this year's investigations have resulted in 198 employees receiving $47,673 in back wages. Employers that want to bring their payroll practices into compliance might consider using an advanced timekeeping system that automatically calculates correct wages for various employees.