How Employees Can Ensure Correct Pay from Employers

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Red Wing Software comments on recent lawsuit, filed by Domino's franchisees, alleging that a group of employees were underpaid, due to a Domino's mandated payroll software.

Red Wing Software

Red Wing Software

There are ways employees can help ensure their pay and benefits are accurate.

Pay is an essential part of work, and yet how much time does the average employee spend, verifying their pay is being calculated correctly? According to a May 24th, 2016 story on Bloomerg News, Domino’s Pizza Sued for Allegedly Cheating Workers on Pay, a lawsuit filed by a group of Domino’s franchisees claims that a group of employees were allegedly underpaid, due to a Domino’s-mandated payroll software that under-calculated gross wages. Franchisees are suing Domino’s because of the alleged underpayment. The main story discusses the relationship between Domino’s and their franchisees. But it also brings to mind another important question: Did the employees realize they were being underpaid? There are ways employees can help ensure their pay and benefits are accurate. Here are some recommendations for employees from payroll software developer, Red Wing Software.

Employers typically distribute pay along with a pay stub, whether payroll is done via printed check or direct deposit. On that payroll stub, employees can find a wealth of information about their pay. Employees should routinely look at their pay stubs in detail, to ensure the pay they were promised is what they are receiving on their pay checks. Employees should calculate the hours, and be sure all of the hours worked were accounted for, including overtime and if applicable, tips. State and Federal tax should also be looked at. If an employer does not provide this information on a pay stub, employees can request this information from their human resources contact. A payroll software system should do a good job of calculating pay and taxes, as well as benefits, but the system is only as good as the payroll and the setup done by the employer.

Employees may take for granted that their benefits are being tracked correctly, but again, the calculations are only as good as the system and its setup. Therefore having a look at benefit calculations on a regular basis is recommended. Things such as 401K, vacation hours, paid time off, and even wage garnishments should be looked at and analyzed by the employee, to ensure they are being calculated correctly. Employers can make mistakes, and some payroll systems may not be set up to calculate certain things the way that is expected. This is especially important when there is a court-ordered wage garnishment. The garnishment may include a fixed amount, a percentage of pay, along with a cap.

One more thing employees can do is learn about the laws in their state, covering things like minimum wage, and what kind of deductions and taxes are coming out of their pay checks, and what they are for. If the person handling payroll for the company cannot provide that information, they should be able to point the employee in the right direction.

Red Wing Software, Inc., along with its nationwide network of business partners, offers industry-leading service, as well as training, on-site installation and implementation of the software. Their vision is “Creating the best management software experience”.

Red Wing Software, Inc. develops, integrates and supports the accounting and financial management needs of small- to mid-sized businesses, agribusinesses, non-profits, and municipals across North America. For more information on Red Wing Software products, including CenterPoint Accounting, CenterPoint Accounting for Agriculture, CenterPoint Fund Accounting, CenterPoint Payroll, CenterPoint Depreciation and Red Wing Tax Forms, call 1-800-732-9464 or visit

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Stephanie Elsen
Red Wing Software Inc
+1 6513881106 Ext: 209
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Stephanie Elsen
since: 05/2009
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