Page 17 - BusinessWest May 30, 2022

This is what happened to the City of Methuen; the city paid an employee her final paycheck of about $9,000 (including unused vacation time) about three weeks late. The court ruled that the employee was due almost $30,000 because the city paid the employee a few weeks late. Professional tip: Don’t make this same mis- take. Make sure employees who are separated
tion may violate the Massachusetts Indepen- dent Contractor statute, which requires workers to be classified as employees, not I/Cs, when the work being performed is similar to that of other employees.
The Massachusetts Independent Contractor statute also requires true contractors to: (1) be free from control and direction from the busi-
drives him to the Post Office and grocery store during the workday. Barbara is working and the travel time must be paid.
What employers in Massachusetts might not know is that under state law you also have to reimburseBarbarafor all“associatedtranspor- tation expenses.” This means you need to pay her for costs like mileage, tolls, and parking (if applicable). It is unclear what employers have to pay for mileage, but the safe bet is paying in accordance with the IRS standard mileage rate, which is currently 58.5 cents per mile.
Meal break miscues: Massachusetts law requires employers to provide a 30-minute meal break to employees when they work more than six hours in a day. The break does not need to be paid; however, if an employee does any work during an unpaid break, the employee needs to be compensated for their time. This could be as little as answering a work-related phone call or making a few copies on the copy machine dur- ing a break.
Meal break time may be used by employees for activities other than eating, such as run- ning an errand or taking a walk outside. The key here is that if the meal break is unpaid, workers must be allowed to use the time as they choose, including leaving the building/work premises.
Illegal deductions from pay: When it comes to paychecks, the general rule is that employ- ers cannot make any deductions, with a few exceptions. Some deductions are federal or state mandated, such as any deductions for taxes or child support. Other deductions are consented
“The Massachusetts Wage Act requires employers to pay all wages, including any accrued, unused vacation time, to employees who are terminated on their last day of work. For employees who voluntarily resign, all wages are due on or before the next regularly scheduled pay date.”
from work are paid all wages on their last day of work. If the final check is not ready the day you need to let someone go, have a process in place to suspend the employee while you work out cutting the final paycheck.
Misclassifying employees as independent contractors: It can be tempting to “contract” with an individual to provide services that are similar to what your employees do. This rela- tionship has tax advantages, no need to worry about leave laws and other employment regula- tions, and a perceived sense of freedom to easily terminate the relationship if it does not work out.
The problem is that classifying individuals as independent contractors (“I/C”) in this situation can be risky. This is because the I/C classifica-
ness (meaning, the contractors sets their own hours and performance standards); and (2) have their own independently established profession or business (meaning, the contractor has their own LLC, PC, or other established business enti- ty). Even where an individual agrees to be clas- sified as an independent contractor and paid via a1099, businesses run a risk of violating the Massachusetts Independent Contractor if all of the above-mentioned factors are not satisfied.
Travel time troubles: Both Massachusetts and federal law require employers to pay employees for non-commuting travel time during the day. This is commonly referred to as intraday travel. Here is the example provided by the federal Department of Labor: Barbara is a personal care aide providing assistance to Mr. Jones. Barbara
A
C A A w p lit h
Wage Law
Continued on page 20
Please Join Us at our
melia J. Holstrom Named Partner
Breakfast Briefing Event
ongratulations to our newest partner, Amelia J. Holstrom. melia, a 40 and
ssociation ward
ithSkoler,e20
ractice on la igation, pe our complia
aw, i
actic nd se
Under Forty honoree Community Service A
Abbott & Presser sinc bor and employment l rsonnel policies and pr
nce, and separation a
Skoler Abbott Attorneys John S. Gannon and Meaghan E. Murphy will be discussing recent labor and employment
Amelia, along with her colleagues,
cases that are imaproerwtahnytetmopblouyseinrsetshsreosuignhoMuat sNseawchusetts.
England rely on Skoler Abbott for advice
Massachusetts Bar Recipient, has been 12. She focuses her
ncluding employment es review, wage and verance agreements.
handling challenging employment and
Wednesday, June 29 at 8:30 - 10 am
labor relations matters.
The Sheraton One Monarch Place, Springfield Cost is $35, includes light breakfast and parking.
To register: skoler-abbott.com/training-programs
neMonaOrcnhePMlacoenarchPlace pringfieldS,pMrAing0fi11e4ld4, MA 01144
413.737.4753
P 413.737.4753
SKOLER-ABBOTT.COM
OLER-ABBOTT.COM
The Valley this Morning with Jess Tyler 7-9 am
The Stephanie Miller Show
10 am -12 pm
The David Pakman
Show
3-4pm
Afternoon Buzz with Buz Eisenberg 4-5pm
5-6 pm: Bill Newman Show (rebroadcast) 6-9pm: Bloomberg Busines Week 9pm-12am: The John Batchelor Show
Stream: WHMP.com
BusinessWest
O S P
SK
1901477_HolstromPartnerAd.indd
1
1/23/19
10:15 AM
LAW
MAY 30, 2022
17
WEEKDAYS on WHMP
The Bill Newman Show
9-10 am
The Thom Hartmann Program 12 pm-3 pm
4.5x5.8 Business West