Processing paperwork for numerous administrative tasks is hard enough without employers having to tally every last minute of employees' time and attendance and then determine the exact amount they've earned based on hourly pay rates. However, that's what the Fair Labor Standards Act (FLSA) requires.

That is, unless the company uses a timeclock that rounds employee punches to the nearest time increment. For instance, a worker punches in at 8:58. The timeclock rounds that up to 9:00. Some systems will adjust to the nearest five-minute mark while others round to the nearest ten-minute increment.

This was the way employee attendance totals were handled at See's Candy Shops in California where Pamela Silva was employed. Silva ultimately filed a lawsuit against the confectioner, alleging she lost out on hourly pay and overtime wages because those minutes weren't accounted for. The case was eventually dismissed because the FLSA allows the practice so long as its fair to employees.

For rounding to be acceptable in the eyes of the Department of Labor, it must equally benefit the employer and employee. For as many times as it rounds a clock-in time from 8:58 to 9:00 a.m. (thus eliminating two minutes of pay), it must also round from 4:07 to 4:10 p.m. (adding three minutes to the daily work total).

All data and information provided on this news blog is for informational purposes only. Infinisource makes no representations as to accuracy, completeness, suitability, or validity of any information on this site and will not be liable for any errors, omissions, or delays in this information or any losses, injuries, or damages arising from its display or use. All information is provided on an as-is basis. Information regarding employment suits and other legal action is not updated after publication, and may not be current.