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Best Practices For Maintaining Accurate Employee Time Records

According to Our World in Data, people work much less than they did 150 years ago. In 1870, the average American worker logged over 3,000 hours per year – or about 60 hours per week. Today, average Americans work about 35 hours per week. Accurate employee time records provide more than interesting insights, however. They can also help companies avoid employment lawsuits – stopping frivolous claims in their tracks with a simple printout. In addition, maintaining accurate employee time records can expose less productive workers – potentially making the entire company more productive. A preventative, proactive approach makes the most sense – and companies can follow various best practices to facilitate accurate records. On the other hand, companies already facing employee lawsuits may want to consult with an employer defense lawyer in New York. Consider continuing this discussion alongside Shwab & Gasparini by calling (315) 422-1333 in Syracuse. Call (518) 591-4664 for the Albaby office, (914) 304-4353 for the White Plains Office, or (914) 304-4353 for the Hudson Valley Office. 

Why Is Maintaining Accurate Employee Time Records Important?

Employee time records may be important for various reasons. Before creating a new, more accurate system of recording employee hours, companies should take a moment to consider why they might need these records in the future. 

Accurate Employee Time Records as Evidence in Wage Disputes

First, these records may represent evidence in a wage or overtime dispute. If an employee claims they have not been paid for the number of hours they worked, a company can counter by presenting their time sheets or similar documents. However, some time records are more reliable than others. Scribbled notes could face scrutiny in court, and the lack of signatures or authentication could raise questions. Forged records are not unheard of in New York workplaces. 

Detailed Employee Time Records Can Highlight Training Received 

Time records can help with other, more nuanced processes. For example, an employee might claim they were never given safety training in a personal injury lawsuit. Accurate employee records can help the company prove they gave this worker hours of safety training before the accident. The most effective time records show not only the number of hours worked, but also the nature of the work performed. The more information these records contain, the better. 

Employee Time Records Can Help With Wrongful Termination Claims

Another common employment lawsuit is a wrongful termination claim. Workers might argue that they were terminated because of their religion, ethnicity, gender, or any other “protected status.” They might also claim they were fired because of a whistleblowing incident. Although many of these claims are legitimate, fighting frivolous claims should be a priority for companies in New York. Employee time records can help by highlighting tardiness issues for the claimant. If they consistently arrive late for work, this gives the employer a legitimate reason to sack them – and it may make their wrongful termination claims more dubious in court. 

Be Aware of the Federal Recordkeeping Requirements

Although maintaining accurate employee time records offers many benefits, it is also mandatory to a certain degree. Before companies start improving their systems, they may wish to review the federal recordkeeping requirements outlined by the Department of Labor. Every employer covered by the Fair Labor Standards Act (FLSA) must follow these guidelines. To learn more about these recordkeeping rules, consider a consultation with Schwab & Gasparini. 

When creating time records for a particular employee, the company must list their full name and social security number. They must also include their full address, sex, occupation, pay rate, method of payment, and deductions. The wage record for each employee should highlight exactly when their official “work week” begins – right down to the hour. Include daily earnings, overtime earnings for each workweek, total wages for each pay period, and the date that these payments take place. Also include the total hours worked as well as dollar amounts. Employers must include birthdates for workers younger than 19. Note that this is the bare minimum for employee time records, and many companies choose to add much more information. 

What Are Some Best Practices for Employee Time Records?

Companies may find it easier to keep accurate employee time records by following a few basic steps. These steps involve software integration, training, and regular assessments of potential improvements. 

Software Solutions for Accurate Employee Time Records

Automated software is transforming virtually every aspect of modern businesses, and timekeeping is certainly no exception. Human Resource (HR), payroll, and timekeeping software solutions are available for even the smallest businesses. Not only are many of these solutions affordable, but they may also be relatively easy to implement. Software solutions can minimize errors and accurately calculate overtime, deductions, and other complex factors. They can also create authenticated, reliable evidence for potential lawsuits. If an employee has a unique login code, their timesheets are inherently tied to their work activities and inputs. In contrast, an employee might argue that their employer erroneously or fraudulently filled out a paper timesheet. 

Training Is Critical for Improved Employee Time Records

Training is critical when implementing improved employee time records. For these new systems to function properly, employees must understand how to log in, navigate the user interface, and fill out their digital timesheets correctly. As long as workers understand this system, it reduces paperwork for employers, gives workers a sense of independence, and creates reliable records to use in potential lawsuits. 

The Importance of Regular Assessments

Employers should regularly assess new employee time record systems – especially during the first few months after initial implementation. HR leaders can take a leadership role in identifying issues and errors as soon as possible – especially if these problems are systemic or software-related. If errors remain unresolved, the resulting records could prove useless in future lawsuits. 

Contact Schwab & Gasparini To Learn More About How You Can Ensure Accurate Employee Time Records 

While creating and maintaining accurate employee time records can help companies avoid employment lawsuits, sometimes legal action is truly unavoidable. Business leaders who face wage claims or overtime disputes may have no choice but to seek resolutions in court. While this might seem like a daunting prospect, companies may be able to navigate lawsuits more confidently alongside employer defense lawyers in New York. Consider discussing the next potential steps during a consultation with Schwab & Gasparini. Business litigation attorneys may be able to offer advice on how to improve employee time records, and these improvements could help avoid future lawsuits. To continue this discussion consider calling (315) 422-1333 in Syracuse, (518) 591-4664 in Albany, (914) 304-4353 in White Plains, or (914) 304-4353 in Hudson Valley. 

Tue Dec 3 2024, 8:30am