The Fair Labor Standards Act (FLSA) is a crucial regulation for organizations across industries, including public school systems. Ensuring compliance with the latest updates can be challenging, especially when managing large teams of employees with different pay structures. In 2024, the Department of Labor introduced new salary thresholds for exempt and non-exempt employees, making it more important than ever for school districts to keep track of employee hours and overtime accurately.
In a recent YOSS-hosted webinar, Cody Tobias, Finance Director at Buford City Schools, shared his insights into how his district is navigating these new regulations while improving their payroll processes using YOSS’s time and attendance solutions. His experience highlights key strategies that can help other districts manage compliance with FLSA requirements.
What Is the Fair Labor Standards Act (FLSA)?
The Fair Labor Standards Act (FLSA) establishes minimum wage, overtime pay, record keeping, and child labor standards for full-time and part-time workers in both the private and public sectors. One of the central tenets of the FLSA is the classification of employees as exempt or non-exempt. This classification determines whether an employee is eligible for overtime pay.
Key Elements of FLSA Compliance:
Exempt vs. Non-Exempt Employees:
Non-exempt employees are entitled to overtime pay if they work over 40 hours per week, while exempt employees are not. Job duties and salary levels are primary factors in determining this classification.
2024 FLSA Updates:
The Department of Labor raised the salary cap for exempt employees to $844 per week in July 2024, with plans to increase it further in January 2025 to $1,128 per week. This means any salaried employee earning less than these amounts must be paid overtime if they exceed 40 hours of work in a week.
Importance of Accurate Time Tracking:
Schools often employ a variety of non-exempt employees, such as custodians, bus drivers, and nutrition staff, whose hours need to be carefully tracked to ensure compliance. Failure to accurately record hours worked and overtime can result in costly legal issues or penalties.
How School Districts Can Stay Compliant
Time tracking and attendance management are critical for ensuring compliance with FLSA regulations. For districts, like Buford City Schools, the challenge lies in not just tracking hours but also ensuring that their systems can handle the complexities of overtime, leave requests, and compliance with legal requirements.
In Buford City Schools, for example, the YOSS Time Tracker module has proven instrumental in monitoring employee clock-ins and managing overtime. The district uses the system to track hours for all non-exempt employees, ensuring they’re compensated correctly for extra hours worked.
Cody Tobias explained:
"YOSS has been incredibly flexible during implementation. When we suggested changes to fit our processes, they were quick to adapt and make adjustments. Their team is responsive, often resolving questions within hours, making the transition smooth and stress-free."
For other school districts facing similar challenges, adopting a reliable time-tracking system can simplify the compliance process and reduce the burden on administrators.
Streamlining Payroll and Reducing Errors
Along with tracking employee hours, accurate payroll management is vital for compliance. Manual processes, such as paper time sheets, can lead to errors, missed overtime payments, or inaccurate leave tracking. Digital solutions like YOSS allow school districts to automate payroll workflows, improving accuracy and reducing the time needed to process payroll.
In Buford City Schools, YOSS has helped administrators reduce a once cumbersome payroll process into a streamlined, efficient system. Reports that previously required stacks of paperwork are now condensed into easy-to-read digital reports, saving time and reducing errors.
As Cody shared,
"What used to be a three-inch stack of paper time sheets is now a simple two-page report, making payroll much more efficient."
By automating these processes, school districts can ensure that employees are paid correctly for all hours worked, while also meeting FLSA requirements for overtime and leave tracking.
FLSA Compliance: Best Practices for School Districts
Here are some best practices for school districts looking to maintain FLSA compliance:
Consult with Legal Counsel:
Before implementing any changes, it’s important to consult with legal or HR professionals to ensure you understand the implications of FLSA rules for your specific employee categories.
Implement Robust Time Tracking:
Use a reliable system that allows employees to easily clock in and out, whether through kiosks, mobile devices, or desktop apps. Ensure the system automatically tracks hours worked, overtime, and missed clock-ins.
Monitor Payroll Regularly:
Administrators should regularly review payroll reports to ensure compliance with FLSA regulations. Look for patterns in overtime, and make adjustments as needed to stay compliant.
Empower Your Team:
Provide your administrators with the tools they need to monitor attendance and manage leave requests effectively. Digital solutions like YOSS allow for real-time tracking and easy reporting.
About The YOSS Platform
YOSS is designed to bring all your Finance, HR, and Payroll processes into one cohesive system, working seamlessly with your existing ERP solutions like PC Genesis, Munis, and others.
With YOSS, you can:
Streamline recruitment and hiring
Automate onboarding, time and attendance, and absence management
Enhance document management and digital forms and workflows
Provide employees with a simple, streamlined experience
Offer electronic employee self-service, and much more
Whether you're navigating FLSA updates or simply looking to streamline your district's operations, YOSS offers a flexible, user-friendly platform that adapts to your needs.
Want to learn more about how YOSS can help your district?
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