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Paying for Smartphone Usage

Question:

Many of our employees have smartphones. Do we have to pay them for every time they use it outside of regular working hours?

Answer:

This is becoming a much bigger issue, as more companies are using smartphones as a tool to improve efficiency, productivity, and accessibility for their employees. When talking about nominal usage outside of regular working hours, i.e., a few minutes a couple of times a week or month, it’s not an issue. However, typically, smartphone usage outside of regular business hours can extend well beyond that. You’ll want to carefully consider who really needs to have a smartphone or similar device for business purposes. If there is not a valid reason, reconsider issuing one to avoid potential problems.

Non-Exempt Employees – yes, you have to pay them for that time. This is probably one of the most common violations that Wage and Hour auditors are finding. To avoid a problem be sure to have a policy in place requiring tracking of smartphone usage, even restricting use outside of regular business hours, and make sure to tie it into to your overtime policy. That being said, remember that managers then cannot email employees during those off times, and expect an immediate response, or even a response first thing in the morning. Be sure to explicitly state this policy and remind your managers.

Exempt Employees – smartphone usage can be less of an issue, however, if the individual is off work or considered on leave, they must be restricted from working. For salary exempt employees, if they work any part of the workweek, they must be paid for the entire week.  Some companies make it a policy that employees must relinquish all smart devices (smartphones, laptops, tablets, etc.) when they are going to be off work. This can be especially problematic when an employee is still expected to be available for contact while on FMLA leave. If you are contacting them for work related reasons, it cannot be counted as FMLA leave, and they must be paid for the time.

Strategic HR offers assistance with a variety of Benefits and Compensation needs, including understanding how DOL regulations affect your business and helping craft creative compensation plans. Please visit our Benefits and Compensation page for more information.

 

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Requiring Employee Contact Information

Question:

Can my company require our employees to provide their personal cell phone number and home email address?

Answer:

A  follow up question to you might be, why do you need them? If it is for emergency notifications, that is one thing, however if it is for working purposes, you would be better off providing them with a work email or cell phone. With email, it is best to make sure that any work related communications are managed in the secure environment of your company server. Also keep in mind that email or phone calls made outside of work hours to non-exempt employees count as “time worked”. Make sure you are tracking that time and paying overtime accordingly.

Today’s employees are on a constant search for work/life balance; it is a key factor in choosing an employer and, sometimes, the decision to leave. As a job requirement you could most likely require them to provide you with two ways to reach them and then suggest they provide a cell phone number and home email address; but requiring it might be a stretch. As long as they give you a way to reach them during off hours that should suffice.

Recordkeeping is one of the more mundane tasks associated with Human Resources, but is extremely important. Keeping documentation of corrective actions, counseling sessions and performance appraisals are vital to making sure you are being consistent with your disciplinary and performance policies. Strategic HR has a great online tool that’s affordable, easily downloaded and ready for immediate use. Our Coaching and Counseling toolkit has sample policies and forms to help you with your Counseling needs. Visit our Communications page to learn more.