Ethan Allen Workforce Solutions

This Monday, we want to honor the men and women who gave everything in service to this country.

For many businesses, Memorial Day also marks the unofficial start of summer and, more importantly, peak season.

As you head into the busy months ahead, we hope you'll take a moment this weekend to reflect on what it means to show up for the people who show up for you.

From everyone at Ethan Allen Workforce Solutions: thank you to all who served, and to the families who carry that sacrifice every day.

Here's a fictional story that illustrates an all-too-costly truth:

A landscaping company classified 15 seasonal workers as exempt to simplify payroll.

The workers were doing manual labor. Which doesn’t meet the FLSA test for what counts as an exempt employee.

This, in turn, triggered a DOL investigation that revealed:

→ $97,200 in unpaid overtime
→ $97,200 in liquidated damages
→ $35,610 in civil penalties
→ $7,436 in payroll tax adjustments
→ Up to $50,000 in attorney’s fees

Bringing that company's total exposure to: $262,446–$287,446

For a shortcut that probably saved less than $15,000 in overtime costs.

While these aren't real numbers, they certainly line up with what we see when companies try to cut corners during seasonal hiring. You think you're saving in the short term, but you end up paying for it in the long term.

We broke down exactly how this happens, what the FLSA actually requires, and how to audit your classifications before your next ramp-up.

Check out our article here: https://loom.ly/IDkw_Ik