The FLSA Knows What Mistakes Most Companies Make: Common Violation 1 and how to avoid it.

FLSA Compliance laws can get tricky.  The laws can be hard to understand, and misunderstanding the laws could cost your business money.  Understanding where you are failing to follow FLSA regulations gives you a chance to fix the violations. This blog post is not meant as a substitute for legal council.  Always contact legal representation if you have any questions regarding FLSA compliance. 

The FLSA knows where most companies make mistakes.  You should know too so you can avoid them. Where do most companies go wrong?   The following list was collected by the FLSA and is available for you to download from their site. Click here.  

Common Violation #1:  
Failure to record all hours that were actually worked to include time spent before and after the shift.  

Problem: 
Collecting time and attendance data can be an overwhelming task, especially when your business has crews scattered across different job-sites.  Inaccurate hours, unapproved hours, lost time sheets can all contribute to incomplete recording of time and attendance.

Solution:  
Following three steps can protect your business from wage and hour litigation:

1.    No more paper. 
It is easy to misplace paper.  Handwriting can be hard to read. Hand written time cards have to be manually entered into the accounting system.  The more times data entry is involved, the more chances for mistakes.  Instead, use a time clock that records a clock IN and OUT in Real-Time and exports the data to a .csv file that is easily imported or, better yet, integrates with your accounting system.  Integrating time and attendance with your accounting system eliminates lost, unreadable time cards as well as removing extra opportunities for mistakes caused by human error.

2.    Clock IN or OUT includes a GPS stamp.
Location, location, location.  Knowing not only when but where your employees clock IN or OUT gives your business advantage in a wage and hour lawsuit

3.   Add an approval process to your workflow.

On-site approval of employee time and attendance records make it clear that there aren’t any discrepancies.  Whether the approval process takes place daily or weekly it allows discrepancies to be addressed and resolved before the FLSA gets involved, and fines get hefty.

Time and attendance software clocks employees IN and OUT in Real-Time eliminating the end of the week “guessing game” that accompanies filling out a form or paper time cards.   A good software solution will “stamp” each clock IN or OUT with the date, time and GPS location.  Real-time approval from managers and employees confirms at the end of each shift, or week, that the time is accurate.

Investing in a mobile resource management solution with a great time and attendance feature can protect your business from wage and hour litigation.  However, it is important to know the laws in your state and make sure that you are following them.  Ignorance is not an excuse when it comes to wage and hour litigation.

Come back next week to read our  post on the 2nd  most common FLSA violation and learn how to protect your business from litigation.

See how AboutTime can work with your business.

Joke:  What is the definition of a project manager?  The conductor of an orchestra in which every musician is in a different union.

Most jokes are funny because they are true.  So if a project manager is a conductor and the crew he is managing is a symphony how does he keep every musician from playing their tune in order to create a beautiful melodious harmony?  Or in other words, how does the project manager organize all the different tasks to ensure everything completes at its scheduled time?  Use a Resource management solution like AboutTIme. 

Download this Free White Paper to see how you can manage your project pro-actively instead of re-actively. 

FLSA Lawsuits Increase Over 500%

http://www.gao.gov/products/GAO-14-69 A  Government Accountability Office Report (GAO) reported that FLSA litigation increased by 514 percent since 2012.  Even more disconcerting for    The number 1 FLSA alleged violations, 95% to be exact, were from overtime violations.   Half of the overtime violation involved inaccurate record keeping.  Isn’t it AboutTime to implement a time and attendance solution that will provide accurate record keeping?     

construction business is that the construction industry along with Hotels, manufacturing and service industries, makes up more than half of all FLSA cases.

If you haven’t implemented a system, then it is time to do so.  What constitutes a good Time and attendance system?  What type of system can protect your business from FLSA ligation?  Read here. 

Mobile Resource Management Infographic

On a single construction project, large numbers of employees work on multiple tasks.  Each task may involve multiple steps, and each step may involve multiple people.  The use of technology in construction is fundamental in increasing the efficiency of running any project.   Technology allows real-time visibility of project details and allows for easier communication and faster decision making.    Have a look at this infographic from AboutTIme that shows how using a mobile Resource management solution works for your business.

Top 3 Reasons You Need a Time and Attendance System

1. Accurate Payroll
How many different types of materials have you received employee time cards on?  I have heard of time cards that were written on napkins, boxes and even a 2x4 piece of wood.   I might be stepping out on a limb when I say that these time cards were filled out as an afterthought and probably weren't very accurate.  Even when time cards are filled out on actual paper, accuracy can be a problem.  The American Payroll Association reported that mistakes made from manually entering data into your system can cost 1% -8% of your companies gross annual payroll.  A time and attendance system eliminates the need for manual data entry.

AboutTime Technologies has an ROI calculator that will show you just how much your business can save from using a Time and Attendance software.  However, nothing speaks louder than hearing actual customer accounts.  Sue Hefferman from Martin-Zombeck said "I would say we have saved close to $200,000.00 on a job by knowing what our average labor rate was, and the accuracy of the time being imported. We have seen an immeasurable return on  investment with AboutTime

2. Reduce administrative costs
Data entry takes a lot of time.  Some companies even hire a full time data entry person.   Collecting time cards, trying to figure out what the time cards actually say, verifying they are correct and finally entering the data into your accounting system can take a full time staff.  A time and attendance system can cut the time spent doing administrative tasks at least in half.   Brack St. Clair, the warehouse manager and AboutTime Administrator for Trinity Drywall and Plastering,  reported “ Before AboutTime we had one full time employee that just worked on payroll.  AboutTime cut the time spent on payroll processing in half, allowing HR also to do HR duties, and we didn’t have to hire extra resources.


3. FSLS compliance laws
The most important aspect of being compliant is having accurate documentation readily available.   A system,  such as AboutTime, that uses pin-codes, or biometrics along with GPS stamping ensures that the correct time is assigned to the correct employee.  Once the information has been collected it is sent to the office where it is easily imported into accounting, doing away with manual data entry and maintaining the integrity of the data.   With the number of wage and hour lawsuits increasing since 2011 by %115  it is important to make sure your business is following compliance standards, and a time and attendance system is the first step toward meeting that goal.

Increase your business profitability through efficiency

Efficiency is the ability to accomplish a job with a minimum expenditure of time and effort.  I was raised that we succeed through hard work.   However, I recently heard a great saying from one of my children’s soccer coaches.  He said, “Work smart not hard.“ In other words work efficiently and you will come out on top. 

In order to boost profitability, we have to learn to work smarter not harder.  Lucky for us we live in a time where technology makes doing this simple.    Instead of driving around to multiple job sites, gathering time cards, checking on job progress, and making project management adjustments that may or may not be remembered, use a mobile resource management software solution.   

A good mobile resource management solution uses “tools” likesmart phones, laptops and tablets to collect field data.  Time and attendance, productivity, and project management information can be collected and sent to the office in real-time, eliminating the need to drive around to each job site.   Working smarter already! 

When the information reaches the office, integrating the mobile resource management software with your accounting or job-costing software allows you to compare budgeted hours and units against actual time spent and units placed.  Immediately know where a project stands and make critical adjustments before problems arise.   Working Smarter!

A good mobile resource management software will include other features to help your business run even more efficiently.  GPS, photo attachments, weather reports and field notes all provide detailed information that would have taken valuable time and effort to collect previously.   Even Smarter!

So, how does this make your business more profitable?  Studies have shown that companies who use a mobile resource management software complete more jobs in less time than companies who don’t.   Check out this info-graphic to see in detail how a mobile resource management solution can help your business increase profitability by running more efficiently.  Info-graphic link.


Download the Mobile Resource Management Info-graphic Now!>> 

Construction, Technology and Playing Tetris

Historically the construction industry has been late to embrace new technology.  Many new technologies that were designed for recreation have benefits that far outreach their original use.    Playing Tetris may not help you to actually operate a crane, but using an iPod, originally intended for enjoying music, can help you to proactively manage remote projects.

Right now you are laughing and wondering if that steel beam in the picture was accidentally dropped on my head.  No, it was not dropped on my head, and YES you can proactively manage remote projects using an iPod.  In fact, you can proactively manage projects using any “smart device. “

Companies who recognize the benefits of using technology in their business are gaining a huge advantage over companies who continue to operate using the same outdated methods they always have.

To Download Click Here

Time and Attendance Part 4: Verification

The fewer times information is touched by human hands, the less mistakes there will be.  However,

there comes a time when all of the data collected from employees must be verified, and any discrepancies addressed.  

No matter how automated a time system is there will always be mistakes.  People still have to clock IN and clock OUT and sometimes they forget.   A good time and attendance system will have some type of a verification process.  Prior to checks being cut,  discrepancies should be resolved. 

Systems such as AboutTime can send out automatic alerts whenever there is a discrepancy.   A final verification report highlights any issues in red, making them easily identifiable.  

After the office "ok's" time cards, each employee should verify their information.  Signatures from the employees could save you a lot of heartache later.   Touch screens, on smart phones and tablets, make verification of mobile field employee time cards easy.  They can simply review and sign their time card directly from a mobile device completing the process in mere minutes.   Any discrepancies can be addressed immediately, resolved and, at the end of the day, everyone is happy.

Happy Mothers Day From AboutTIme

Being a mother is a full time job, 24 hours a day, 7days a week, 365 days a year.  AboutTime would like to thank all of the amazing mothers for everything they do. Happy Mothers Day!

Enjoy this video.  It says it all!

Time and Attendance Part 2: Keep It Simple

On April 26, 2010 the Division of Workforce Services announced it’s “Plan/Prevent/Protect Strategy" placing compliance entirely on the shoulders of employers. 

1.   Plan:  Employers are required to design a plan and work-flow that demonstrates compliance with federal FLSA laws. 

2.   Prevent: Employers must be able to implement the plan and have the ability to monitor whether or not their employees are following it.

3. Protect: Employers must provide documentation that evaluates the effectiveness of their plan.  

It is up to employers to design, implement and monitor their business compliance plan.   While ultimately, failure or success lies directly with the employers, at some point, the plan that is put in place must be applied and used by employees.   When the success of your company FLSA compliance depends on how effectively your employees follow your business time and attendance plan… SIMPLICITY suddenly becomes a very important concept. 

Originally contractors themselves, Mike Merrill and Ryan Remkis, founding partners of AboutTime Technologies,  understood that their crews were not going to follow any procedure that was too complicated.

 “ We knew that our solution had to be simple. “ stated Ryan.  “One day I was getting cash out of an ATM and it occurred to me… Anyone can get 20 dollars out of an ATM.  The process is just so simple.”

“Right away we started doing research,“ added Mike.  “ We used different ATM’s from different places, counted how many steps it took to complete the transaction, and timed how long a transaction took to complete.   We modeled our software after our research on ATM's.  We figured if someone was able to use an ATM, they could clock IN and OUT using AboutTime. “ 

And sure enough Ryan and Mike were right.  Using mobile devices such as smartphones, laptops, or iPads, with large easy to read buttons, employees can clock IN, choose a location and choose a task in 5 seconds or less.  Simplicity is at the heart of the AboutTime Time and Attendance solution.