Michael Abcarian's article "DOL Will Be Targeting Texas Hospitality Industry in FY 2015" was featured in the Texas Hotel and Lodging Association's newsletter on January 30, 2015.
The hospitality sector in Texas will be under increased scrutiny in 2015, warned a representative from the Department of Labor's (DOL) Wage and Hour Division at a recent gathering of human resource professionals. The agency representative reported at a recent Fisher & Phillips-hosted program that the DOL is actively pursuing investigations pertaining to unpaid overtime compensation and minimum wage compliance throughout the hospitality industry and is focusing a heightened scrutiny on pay practices in historically low-paying positions and for tipped workers, including employees who perform cleaning duties and valet parking services.
In the article, Michael discusses the importance of assessing potential risks now and creating an action plan, in case of a DOL investigation.
As we have seen in recent years, DOL investigations into hotel and motel employers' pay practices can result in significant monetary assessments or worse in egregious situations. Michael states, employers within the hospitality industry should approach this situation knowing they may become an investigatory target. Keeping this in mind, he advises employers to prepare now to ensure compliance with laws enforced by the DOL. An ounce of prevention is certainly worth more than a pound of cure when it comes to disputes with the government in such matters.
To read the full article, please visit Texas Hotel and Lodging Association.
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