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ARTICLE · 01 JUNE 2017

What Activities Do You "Pay For"?

ABC Corporation sometimes conducts in-house, during-the-workday, performance-improvement training for its employees. Its Policy Manual includes a sentence saying, "The Company pays for ...

United StatesEmployment and HR

ABC Corporation sometimes conducts in-house, during-the-workday, performance-improvement training for its employees.  Its Policy Manual includes a sentence saying, "The Company pays for the time employees spend in work-related training."

One day, Human Resources Director Janice gets a visit from Electronics Technician Bob.  Bob says that he has been improving his job performance on his own by taking an Electronics Manufacturing and Servicing night course at the local community college for the last three months.  He wants to know how he goes about getting compensated for this class attendance and home study.

Janice replies that the U.S. Department of Labor says an employer does not have to pay federal Fair Labor Standards Act wages for the time a worker spends at his or her own initiative taking courses at an independent college after hours, even if the courses are directly related to the employee's job.  Bob responds that he is not concerned about the FLSA; he

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