COVID-19 forced many employers to quickly adapt to a remote work arrangement, often without much preparation or consideration of applicable law. Unsurprisingly, a nationwide surge in COVID-19 related litigation ensued. In order to minimize legal risk and to ensure legal compliance, employers are faced with an increased need to monitor remote workers, especially non-exempt employees. From wage and hour considerations, to tax and jurisdictional consequences, employers must be aware of their employees' work schedules and locations, while simultaneously balancing employee privacy and safety concerns. This article addresses key issues and best practices for employers to navigate these challenging times.

Wage and Hour

With the transition to a remote workforce, the traditional 9-5 workday seems to have disappeared for many. Remote employees often report working longer hours than ever before as work blends into home life. This poses a unique challenge to employers who still must track hours worked by their non-exempt employees for record keeping and overtime compliance purposes under the Fair Labor Standards Act (FLSA).

The FLSA requires employers to pay non-exempt employees overtime compensation for time worked in excess of 40 hours in a workweek. Some states, such as California, apply daily overtime rules also. Traditionally, non-exempt workers must record their start and stop time and meal periods lasting at least 20 minutes each day. With many employees still working outside of the office, employers must be even more careful to ensure non-exempt employees regularly record their time worked, and the employer is paying for all such time.