New OT Regs Could Mean an Increase in Timesheet Fraud

We all want to believe employees will be honest about their “hours worked” and complete their timesheet accordingly. However, timesheet fraud is a real problem.

The DOL’s new OT regs will likely see a lot of formerly exempt employees punching submitting a timesheet for the first time in their careers. They may also have some resentment for having to do which may lead to the employee taking some liberties with their timekeeping.

Make sure managers are away that timesheet fraud is also known as wage theft. They need to be aware of the various ways that employees can engage in fraudulent timekeeping such as:

  • The employee engaging in personal activities outside of normal breaks while on the clock
  • Coming in late and recording the time as time worked
  • Taking an extended break (e.g. lunch) and recording less time

There are steps managers can take to prevent timesheet fraud.

  • Manager can create a written timekeeping guideline with an explanation of honest timekeeping
  • Understand how to capture work time accurately as well as consistency with wage and hour laws
  • Managers should carefully review the timesheets before hitting approve, “Careful – new OT regs could mean increased timesheet fraud”, Tim Gould, January 6, 2016

Leave a Reply

Your email address will not be published. Required fields are marked *