The Department of Labor are updating their overtime rule later this summer. The final ruling will revise the salary threshold for overtime exemption from $455 a week ($23,600 annually) to $970 a week ($50,440 annually). What does this mean for businesses across the country? Will you be affected? What do you need to know?
This new ruling will have the biggest effect on small business owners with a high number of seasonal and hourly employee’s, nonprofits, retail, hospitality and manufacturing industries.
Where to start
It is important to begin with a good understanding of the actual hours your staff are working. Ensuring that you are on top of this now, before the ruling comes into effect, will allow you to adjust quickly and efficiently. If the ruling passes employees may become eligible for overtime pay, which will place more responsibility on employers to track hours worked per week to manage compliancy with this new rule.
Tracking staff hours using ZUUS Time & Attendance allows you to see exactly what hours are being worked and by which employees. Employees are able punch in and out with a 4 digit PIN, fingerprint technology or mobile phone app in each location, reducing the need for time books and manual data entry.
How scheduling will help
When it comes to scheduling, it is important to fully understand the new costs for each employee and schedule with this in mind. Taking a proactive approach, and educating yourself on the new thresholds and which staff they will affect, will avoid any unexpected shocks come payroll time.
ZUUS Schedule allows fast and easy costed scheduling for retail and hospitality industries. It will produce costed schedules that match changing sales demand. This allows you to continually fine tune your metrics and avoid any unexpected payroll amounts at the end of the month.
Once the new laws are passed, it will be increasingly important for employers to maintain accurate hourly staffing data for auditing purposes. If your business is reported by an employee for not paying the correct wages, the Department of Labor will audit you, which would require accurate and clear employee reports. The ZUUS Workforce simple built-in reporting tool provides this information at the click of a button, reducing stress and time in your already busy day.
As an employer it’s in your best interests to arm yourself with as much information as possible before this law is passed. Utilising easy reporting, labor metric analytics and simple scheduling through ZUUS Workforce will be your secret weapon to thriving under this new legislation.
Data insights that can help
Managing labor costs in a changing legislative environment can be daunting. At ZUUS Workforce, we know that effective staff scheduling will improve your bottom line and store performance. That’s why we created a spreadsheet to give you better insights through labor metrics. Our free Multi-Unit KPI Spreadsheet will help you to navigate the ebbs and flows of staff scheduling and reporting.