We are a staffing company with employees in almost every state. Employees are non-exempt and submit hours worked via timecard. But what happens when we don’t receive one from the employee? Are we required to pay the employee even if we do not have a time card?
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The FLSA requires employers to pay nonexempt employees for all hours worked, regardless of whether employees submit timecards as required by the employer. In the situation you describe, it is particularly difficult for the employer to determine the number of hours an employee in a remote location has worked. However, the fact that an employee does not turn in a timecard at the required time (even if it also delays client billing) does not give an employer the right to withhold the employee’s pay.
Under the FLSA, an employer must pay for all hours a nonexempt employee is “suffered or permitted” to work. It’s likely that an employee who has been placed for work by your company would fall within the definition of being “suffered and permitted” to work. When an employee has failed to submit a timecard, the employer may need to contact the employee to find out how many hours the employee has worked.
When employees repeatedly fail to submit timecards, get approval for overtime, or otherwise break an employer’s rules, the employer may discipline the employee. Many employers use a progressive discipline policy to manage timecard violations. Generally, a progressive discipline scale begins with oral reprimands, followed by written warnings, suspensions, and finally, discharge. Information on disciplinary policies is available on HR.BLR.com.
When applying disciplinary procedures, employers must make sure employees are treated in a fair and consistent manner. If there are concerns about disciplining an employee or terminating employment, we recommend contacting a local employment attorney who can review all of the facts and circumstances and advise the employer accordingly.