Since March, much of the U.S. workforce has worked from home. From teachers to attorneys and everyone in between, COVID-19 has pushed two-thirds of employees out of the office. Remote work is great for social distancing, but it also creates risks. Without direct oversight, employees may log overtime for work they never completed. If you want to protect your business from wage theft, read on.
Employee Wage Theft
Wage theft is not new. Long before remote work, employees asked friends to clock them in early, “forgot” to clock out for breaks, or wasted time while still on the clock.
Businesses lose an estimated $50 billion every year to wage theft. On average, employees who commit it report 4.5 extra hours per week. The financial impact is serious, but so is the effect on morale. Honest workers can feel demoralized when others get paid for time they never worked.
Remote work adds new challenges. Managers cannot easily confirm whether employees are working or just collecting a paycheck. Constant micromanagement, however, lowers morale. A better solution is to build checks and balances that verify work is being done.
How to Prevent This
Many companies expect to keep at least part of their workforce remote even after the pandemic. That means you need a clear plan to ensure employees complete the work they are paid for.
1. Set Clear Rules and Expectations
Tell employees exactly what you expect regarding remote work, breaks, meals, and personal time. Make sure they also understand the consequences of violating these policies.
2. Use Time Tracking Software
Provide time-tracking tools and train employees to use them correctly. State clearly which activities they must log.
3. Create a Positive Culture
A supportive, positive culture improves morale. Employees who feel respected work harder and are more productive.
4. Pay Employees Well
Fair pay builds loyalty. Employees who feel valued are less likely to commit time theft and more likely to stay engaged.
Protect Your Business from Wage Theft Today
It seems that remote work is here to stay for much of 2020 if not longer. Using these tips, you can protect your business from wage theft. With businesses closing left and right, ensuring that you aren’t losing any money to employee wage theft is imperative.
If you do suspect that your employees are involved in theft of time and wages, contact the attorneys at Boyer Law Firm, P.L. We have attorneys specializing in business law and are happy to provide a case evaluation for you.
