Compensable Meeting Time

Mentel

This coming Wednesday, we are having an all-company meeting that will lay out the path of the company for the next couple of years. It comes after four months of strategic planning. All employees are invited but it did not say they were required to attend and attendance will not be taken. When the announcement of the meeting went out, there was no indication that this is not paid time. We are starting with refreshments at 4:00 with the presentation from 4:30 to 5:30 and pizza for everyone afterward. I think that our hourly employees will be expecting to be paid for this time because it is company business. I am getting feedback from the top managment that this is unpaid since it is voluntary. They are afraid that we will end up having to pay employees for the picnic or golf outing. I explained that this was different since company information is being presented and this information with impact everyone's future at the firm. I have a bad feeling about this. Either something needs to go out to employees immediately that this is a social occasion and will not be paid time, or we pay the hourly employees. I would like to have some feedback on this ASAP.

FunHRBanker

On the surface, it appears that the time would not be compensable since attendance is strictly volutary. However, it is a meeting regarding the future and management of your company; perhaps it should be mandatory. If you decide to pay the hourly employees, they would only be compensated for the meeting time (4:30-5:30). Just my opinion!

SMace

[font size="1" color="#FF0000"]LAST EDITED ON 08-08-05 AT 03:17PM (CST)[/font][br][br]I imagine part of the goal of this meeting is to boost morale, right? Does not paying people for their time help accomplish that goal?

Is an extra 2 hours of pay for the non-exempts gonna break the bank?

I think you are gonna blow all the goodwill you are trying to get right out the window if you do not pay them for their time.

Either way, you are absolutely correct that you need to communicate the expectations before the meeting.

edit: This sounds almost like a Dilbert cartoon. Are the managers going to make them chip in for the pizza?

Brad Forrister

I think you're on shaky ground if you try to get away without paying for the time. And I think it would be pretty easy to distinguish picnics and golf outings from a company meeting about your strategic plans.

Brad Forrister
VP/Content
M. Lee Smith Publishers

POPEYE

>This coming Wednesday, we are having an
>all-company meeting that will lay out the path
>of the company for the next couple of years.

If I were an EE and got the above notice without any other explanation, I would definitely feel it was mandatory for me to be there and I would definitely expect to be paid for the hour I had to listen to the brass brag about their strategic plans. When we have such meetings, we even pay them for eating time.

Any "top manager" that thinks his / her EEs don't know the difference between a meeting and a picnic needs to be evaluated.

LivindonSouth

You would have gotten entirely different responses if you had simply asked, "Is it legal to not pay them?" Or maybe you should have asked what is the opinion of others on how not paying them might impact morale or good will.

I would think a majority of hourly employees might ask around, "Do we have to go to this thing?". The word will get out quickly that it's unpaid. Your senior management is technically right that it's unpaid since it's voluntary

Finally, I disagree with you that a memo go out proclaiming the evening as a 'social occasion'. It's not a social occasion. It's an opportunity for people to attend a free meal and business meeting where the company officials will roll out the immediate future.

I for one grew tired long ago of people whose attitude is, "If they don't pay me, I ain't going." I would rather think the 'pay' might be my opportunity to learn something about the business and its goals and in the process, increase my stock with decision makers. And, rather than asking whether it might break the bank to pay hourly workers, let's ask whether it will break an hourly worker's household budget to attend something without getting payed for it.

HRinNH

IMHO, the turnout would be better if the non-exempts knew they were being paid. Isn't that your goal?

We've run into this situation a few times and the management decided not to pay us but instead provide the meal as compensation for sitting through the lunch hour meeting. I would have prefered being paid for the time myself.

Cheryl C.

LivindonSouth

And would you have also expected to be paid for eating lunch and the social period before and after?

Mentel

Thanks for the replies. I went back to the memo that went out to all employees and employees were highly encouraged to attend. I know that the owners want everyone there that can come and that it is important but not paying the non-exempt employees sends the wrong message. If you want buy in, you should start it out right. I also have a very bad feeling about the legality of not paying employees to attend a company meeting. I tend to be conservative when it comes to wage & hour. I would rather pay now and not go through an audit because an employee thought they were being short-changed.

lorrie

I think your best bet is to 'strongly encourage' attendance at the meeting part, and pay all employees for the meeting time. The rest is up to them.

However, I know management does not always agree, and if you are not able to pay them, then I would make it clear ahead of time that this will be unpaid time. If management feels it is important for the employees to have the information, then a summarizing memo can be posted after the meeting.

System

One of the most prevailing reasons people leave a company is because there is a lack of 'buy-in' caused by a lack of communication from the top down. Apparently your company is making an attempt to communicate the company's vision and plan to it's employees by hosting the voluntary event. Employees complain because they don't know what's going on. You're giving them the opportunity to know and to be included as players in the big scheme of things. That alone should boost morale. Some will have the attitude that they're not going if they're not being paid.

I'm not sure if you have to pay them, but paying them won't do one thing for morale. They'll probably feel entitled to it.

SMace

I agree that paying them won't do one thing for morale. But not paying them will do plenty to hurt it. JMHO.

You could always hold the meeting during working hours.

LivindonSouth

Would you also advocate paying employees to attend the company picnic? What's the difference, assuming the boss also takes the podium at the picnic for 15 minutes?




Disclaimer: This message is not intended to offend or attack. It is posted as personal opinion. If you find yourself offended or uncomfortable, email me and let me know why.

SMace

[font size="1" color="#FF0000"]LAST EDITED ON 08-10-05 AT 09:47AM (CST)[/font][br][br]No. The difference, according to the post, is the purpose of the meeting. The purpose is a "state of the union" address. The purpose of a picnic is to have a good time with your co-workers and family.

LivindonSouth

According to the law, it's not the purpose of the function that makes a difference. It's the fact that it is a company function outside normal business hours and whether or not it is voluntary or mandatory.

SMace

I understand the law. My advice is based on morale not the law. The law is a moot point. Either way she goes the law is not broken.

LivindonSouth

I'm sorry. I must have misunderstood the original post. Actually the law is not a moot point at all, depending on the understanding the employees had of the notice to attend, the company's intentions and, obviously, the pickle the poster feels they are placed in.

SMace

You are right. I re-read the second post and I agree with you and Crout. Strongly encouraged could be interpreted as mandatory.

My impression was that it was clear that it was not mandatory. That is now in question. Thanks for the comments.

ritaanz

We hold quaterly meetings with all of our employees during working hours. The meeting lasts about an hour. The second shift comes in an hour early and goes home an hour early.

The purpose of these meetings is to inform our people the good or bad news from the last quarter. The dates are picked early so that the second shift has time to make arrangements. Our 3rd quarterly meeting will be held on October 20th.

The concept of holding a company meeting to bring everyone up to speed is a great idea. Especially after spending four months coming up with a plan. The refreshments and the pizza is gracious but not necessary. Are you planning a celebration or an assembly to explain the changes or direction that the company is heading?

If you want your employees to cooperate and support the strategic plan it should be managed as a company function and if it is done after hours because of production requirements,the employees should be paid for their time.

You want these folks walking away with a positive view. Why sour the presentation with a miserly start?

Crout

You said you re-checked the memo that went out and that employees were "highly encouraged" to attend. Was that the phrase used, or are you paraphrasing? To me "highly encouraged" means it's a mandatory meeting, but that's just my interpretation. Perhaps your upper-management needs to clearly state what they want.