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Travel time compensation for Non-Exempt?
Benefits & Compensation
Travel time compensation for Non-Exempt?
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Our payroll clerk (who is hourly, non-exempt) has offered to stop and pick up payroll once a week in the morning on her way to work from our local ADP office. She’d be using her own car and only
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Forums  »  Topic Forums  »  Benefits & Compensation  »  Travel time compensation for Non-Exempt?

Travel time compensation for Non-Exempt?

posted at 11/11/2008 3:09 AM EST
Posts: 7
First: 12/5/2007
Last: 11/11/2008
Our payroll clerk (who is hourly, non-exempt) has offered to stop and pick up payroll once a week in the morning on her way to work from our local ADP office. She’d be using her own car and only going about 2 to 3 miles out of her way. In a time when we are all trying to save money, this would save us about $1,000 per year in delivery charges ADP passes on to us. I have a wage and hour question as well as general liability—If we allow this, I believe the start of her work day would be when she arrives at the ADP office and would need to be paid starting then, correct? While she is traveling from the ADP office to our office, if she was injured, would this increase our liability risk substantially?

Thoughts on this? THANKS!

Travel time compensation for Non-Exempt?

posted at 11/11/2008 3:41 AM EST
Posts: 2146
First: 2/15/2006
Last: 9/14/2011
"If we allow this, I believe the start of her work day would be when she arrives at the ADP office and would need to be paid starting then, correct? While she is traveling from the ADP office to our office, if she was injured, would this increase our liability risk substantially?"

Yes, her time worked would start when she arrives at ADP. And she would need to be paid for the drive from ADP to your office. I would check with your insurance broker on how this will affect your liability. I suspect that if you already have employees "driving for work purposes" that it won't increase rates...but if you do not have employees "driving for work purposes", it will. But check with your broker to see the consequences.

Travel time compensation for Non-Exempt?

posted at 11/11/2008 6:47 AM EST
Posts: 410
First: 1/26/2006
Last: 11/15/2010
Hi:
As a somewhat collateral matter, I would ensure that a motor vehicle record check be conducted on this individual. If the employee has a poor driving record and they are involved in accident while furthering your business interests, a negligent hiring action would probably be forthcoming.

I trust this is helpful.

Dave Arnold, Ph.D., J.D.

Forums » Topic Forums » Benefits & Compensation » Travel time compensation for Non-Exempt?

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