Like everything else, automated timekeeping systems have their advantages and disadvantages. On the one hand, they make timekeeping and bookkeeping much easier and less labor intensive, especially for large corporations with many employees. On the other hand, employers who use automated timekeeping systems need to make sure they have a system in place to make adjustments whenever an employee works longer hours than they were initially scheduled for.
Under the federal Fair Labor Standards Act (FLSA), overtime is defined as any time spent working after eight hours a day or forty hours a week. Most employees working in the United States are entitled to one and one-half times their normal hourly rate for all overtime worked. There are exceptions to the overtime requirement, but the FLSA is very specific about the types of workers that can be considered exempt from overtime.
According to a recent class action wage and hour lawsuit against Zillow Inc., the online real estate company allegedly failed to properly compensate its inside sales consultants for the overtime they worked. The class action lawsuit alleges Zillow used an automated timekeeping system and failed to make adjustments to the timekeeping records when employees worked through their breaks or after their scheduled shift had ended. Continue reading