Pay dispute by government workers over shutdown builds

Employees deemed to be essential by the federal government worked during the governing body's shutdown in October and were compensated, although not in accordance with their regular pay schedules.

The delay in pay has spurred a lawsuit by a group of approximately 1,000 workers affected by the temporary closure, according to Forbes. The group, which is seeking class certification for the legal action, claims that the Fair Labor Standards Act entitles them to the minimum wage and any overtime pay accrued in a timely fashion. Because the workers' had their pay delayed by the shutdown, they are seeking liquidated damages to make up for the stalled checks.

The U.S. Department of Labor states unambiguously that accrued earnings are due by the "regular payday" of each pay period. The court case may be complicated by the unique situation presented by the shutdown and a lack of precedent - no lawsuits were filed for late pay by federal employees after previous federal closures.

Employee tracking software can help companies maintain proper records of hours worked and pay received. It also provides important information that may reduce legal liability.


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