24 Jul When is Meeting Time After Normal Work Hours Payable?
Occasionally we have evening employee meetings after normal work hours. We include a nice meal and a cocktail, which makes it a pleasant evening. These meetings give us the opportunity to discuss a variety of topics we never seem to find time for during the workday. A business associate tells me employees should be paid for their time when attending these meetings. I can’t believe this is accurate information. Who is right?
The subject of “compensated time” for non-exempt employees is one that can hold many surprises.
Very often, employers are overwhelmed to discover that under certain circumstances, travel time, meal time and even sleeping time may be considered hours worked by employees and protected by federal and state wage and hour laws.
You do not need to compensate employees for attendance at meetings, training sessions and similar activities if:
- Attendance is entirely outside working hours.
- Attendance is voluntary.
- The subject matter is not directly related to the employee’s job.
- No productive work (activity that benefits the employer) is performed in the program.
For example, it may be tempting to combine a “safety meeting” with dinner, and call it a “social” event, but you might be violating wage and hour laws. (A safety meeting’s purpose is to benefit the employer.)
As a common-sense rule of thumb, ask yourself these questions about your meetings:
- If time was taken during the scheduled workday to discuss these topics, would my employees be paid for that time?
- Do the purpose and/or activity of the meeting benefit the employer?
If you answer “yes” to either or both of these questions then time at the meeting is compensable for non-exempt employees.
Also, some states have wage and hour laws more generous to employees than federal law and may cover rare instances that are not covered by federal regulations. So check your state law.
What About “Smart Phone” Time?
Your non-exempt employee, while home or on vacation, uses a smart phone device to check in on some work-related project. Is the time she spends doing this compensable?
A manager tells an employee to use his electronic device to check in regularly while he’s on vacation, to see if his help is needed to complete a special project. Is the employee’s time spent doing this work time, and compensable?
A workaholic employee with a special project underway at work, just can’t stop working on it. So she often uses her smart phone during evening hours and on weekends to keep her project going. Is the time she uses to do this compensable? Is she entitled to overtime pay?
Handle situations like these as you would handle traditional “call in” time (employees being available to get called in to work during non-work hours) and meeting attendance. In instances when the non-exempt employee is engaged in work-related activity of benefit to the employer, the time is compensable.
Payroll Partners is committed to helping clients stay informed about payroll and human resource news, developments and current events. This article is intended to provide readers with general information on human resources matters. The article does not constitute, and should not be treated as professional advice regarding the use of any particular human resources practice. All efforts have been made to assure the accuracy of the information. Payroll Partners does not assume responsibility for any individual’s reliance upon the information provided in the article. Readers should independently verify all information before applying it to a particular fact situation, and should independently determine the impact of any particular human resources practice. If you are seeking human resources advice, you are encouraged to consult a human resources professional.