Fake Employees? Oh My!
June 21st, 2012
As if employee (existing employee) management isn’t a full time job in itself, try managing the fake ones! Every day as HR Managers or Business Owners we dedicate time, money and effort towards managing “everything HR” for our employees – payroll, sick days, vacation time, benefits, hiring, firing, compliance, workplace safety, training… the list goes on!
We do everything in our power to keep our workplace in compliance, so who would have thought a claim could be filed by a fake employee- someone you’ve never even met. The larger companies are, the more HR-related tasks there are. Even with an HR Manager on staff, errors in human resources administration can be quite costly.
Just a few weeks ago in the Tampa Bay Times, we read about Industrial Engineering and Development, an employer in the Tampa Bay area who received a lawsuit claiming they owed unpaid overtime to an employee- an employee the company did not know!
Industrial Engineering and Development checked their records and found that the complainant had been on their payroll for $8 per hour for several months in 2007 and 2009, and was paid a total of $21,218.
While the complainant did not get away with this lawsuit in this particular situation, and may even face criminal charges for faking their employment, this is a perfect example of how certain aspects of HR can be overlooked when you are focusing on the more revenue-generating activities of the company. According to labor lawyers, unpaid overtime is a widespread common abuse, and can sometimes be more expensive to fight than to simply pay off – some companies feel pressured to settle even when they know the employee is in the wrong.
The expert team at HR Shield provides the perfect alternative to outsourced HR services and can contribute to keeping your HR administration organized. HR Shield clients streamline human resources administration with HR management best practices from our team and with a little bit of support, you can focus more strongly on certain aspects of HR. In the event of a claim, HR Shield member reap the benefits of discounted labor attorney servicestoo.
Call and meet your HR Advisor today (877) 636-9525, or contact us for more information.