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Paying for overtime with cash under the table is NOT a good practice!

January 25, 2018

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Reading through the USDOL press releases it appears that many companies have problems paying for overtime. Case after case show companies being fined for overtime violations and recordkeeping errors. At an average of about $250,000 per case, plus whatever the legal costs were, a lot of overtime could have been paid for without getting in trouble.

Under the table

One company in Southern California apparently tried to hide the fact they were not paying overtime at the required rate of time and a half. They would pay only a 40 hour straight time week and then pay for any hours over 40 by offering cash at the straight time rate.

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