How KFC Could Have Avoided $80K in Scheduling Fines

Derek Jones

Derek Jones

VP of Business Development, Deputy Americas

December 03, 2018

How KFC Could Have Avoided $80K in Scheduling Fines

Derek Jones, VP of Business Development, Deputy Americas
December 03, 2018


Table of contents

BONUS CONTENT INCLUDED THROUGHOUT THIS POST:


Introduction

In New York, there was a recent settlement that found a string of 30 KFC locations guilty of violating city mandated predictive scheduling laws requiring employees to receive extra pay when their work schedules change on short notice. An investigation by the New York City Department of Consumer Affairs found that the people in charge of running the KFCs forced their employees to sign an illegal agreement that waived their right to receive extra pay.

To make the situation worse, this isn’t the first time KFC has ran into trouble with how they treat their employees in New York City. Back in 2015, 13 different KFC locations were ordered to pay a $375,000 settlement for stolen wages. Some of the offenses they were found guilty of include:

  • Making employees continue working after they clocked out.
  • Not paying proper overtime to hourly workers who worked at more than one location and worked over 40 combined hours each week.
  • Not paying employees for uniform maintenance, as required by law.
  • Not paying employees “spread of hours” for shifts longer than 10 hours.
  • Not paying employees that were called into work then sent home early.
  • Forcing cashiers to pay cash register shortages out of their pocket in order to keep their jobs.

Both of these settlements resulted in thousands of dollars being lost that could have been spent on better restaurant equipment, better training for workers, new uniforms, as well as a hundred other things that could have helped these KFC locations. Instead, the money is now being thrown away due to a settlement that could have been completely avoided.

With predictive scheduling and fair workweek laws growing in popularity, it’s important that business owners understand what’s expected of them to ensure they don’t break any rules and don’t receive penalties due to infractions.

How KFC Could Have Avoided $80K in Scheduling Fines

Good news is there is technology available in the form of Deputy’s employee scheduling software that was built from the ground up to be compliant with Fair Workweek and Predictive Scheduling laws. Deputy was made in Australia, which has been enforcing Fair Workweek legislation since 2009. So you can rest assured the platform will make you compliant with Fair Workweek legislation.

Take a look at how these features work to protect your business so you never have to waste a single cent on fines. And while you’re at it, click on the button below to start your free trial of Deputy (NO CREDIT CARD REQUIRED).

START FREE TRIAL


On-site time clock

With on-site time clock software, you’ll know exactly when employees clock-in and clock-out. This way, both you as well as the employee will have clear evidence of when their shift ended so it can be referenced if need be.

Deputy-Time Clock

And the best part is Deputy offers exclusive facial recognition software that takes a photo of the employee both when they clock-in as well as when they clock-out, so you never have to worry about the issue of buddy punching which is when employees ask another employee to clock them in for them. The time-clock function even works offline, so you don’t have to go into panic mode if your wifi ever unexpectedly shuts down.


Accurately forecast labor demand

One of the issues listed above was that owners didn’t pay employees that were called into work then sent home early. Instead of worrying over whether or not you have enough employees scheduled, why not get rid of the issue altogether?

Deputy_Auto-Scheduling

With Deputy’s Auto-Scheduling feature, you’ll be able to take the guesswork out of building your shift structure. It’s able to accurately forecast how many employees you’ll need for each shift by studying past data like your sales, bookings, foot traffic, etc. And if you’re struggling to recruit great employees, click on the link below to download your own guide of the 77 best questions for interviewing candidates for retail.

77 Retail Interview Questions To Hire The Right Candidate


Workplace communication

If there is an incoming weather issue that will cause your business to close down, you’ll need a fast & convenient way to let them know not to show up that doesn’t involve you having to call or text each one of your employees. That’s why Deputy offers world-class workplace communication methods that ensure you’re able to keep your employees in the loop with ease. It works in three easy steps:

  1. Create a post for your entire staff or write a message for a single person.
  2. Attach PDFs, images, etc., to your message if you need to.
  3. Send it out to employees who will get a notification via email or with a push notification.

Also, if business is slow on a particular day and you won’t be needing every one of your employees that are scheduled to work the night shift, Deputy allows you to privately message each employee that you would prefer to stay at home.

How KFC Could Have Avoided $80K in Scheduling Fines

This way, you never have to worry about breaking code and asking employees to leave after they just got to work. And if you have multiple locations, you can specify which location you would like your message to be viewed by. Take a look at the image below that gives you an idea of how the newsfeed function works.

Deputy-Newsfeed

 


Payroll integration

A number of the issues that resulted in the fines for KFC stem from not paying their employees. Thankfully, Deputy integrates with a number of payroll providers that makes paying employees easier than ever. Some of these payroll providers include:


Shift swapping

If the employees at KFC had an easy way to swap shifts with one another, then there wouldn’t have been so many issues stemming from their hourly workers putting in extra hours. Give your employees the ability to swap shifts with one another and the number of shifts that go unfilled will drop considerably.

Deputy-shift swap


Try Deputy out yourself to make sure you never get fined

No business owner wants to worry about getting fined due to breaking labor laws. Fair Workweek and Predictive Scheduling laws are sweeping the nation, so it’s important business owners are equipped to handle the incoming legislation so they avoid running into the same issues that KFC did.

Deputy-All devices

The above features are all included in Deputy, which was built from the ground up to ensure business owners are equipped to handle Fair Workweek and Predictive scheduling policies. To see Deputy in action for yourself then click here for A free trial of the employee scheduling software Nike, Amazon Pop-up and Ace Hardware use.

 

Important Notice
The information contained in this article is general in nature and you should consider whether the information is appropriate to your needs. Legal and other matters referred to in this article are of a general nature only and are based on Deputy's interpretation of laws existing at the time and should not be relied on in place of professional advice. Deputy is not responsible for the content of any site owned by a third party that may be linked to this article and no warranty is made by us concerning the suitability, accuracy or timeliness of the content of any site that may be linked to this article. Deputy disclaims all liability (except for any liability which by law cannot be excluded) for any error, inaccuracy, or omission from the information contained in this article and any loss or damage suffered by any person directly or indirectly through relying on this information.


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ABOUT THE AUTHOR
Derek Jones
Derek is the VP of Business Development in North America and has 16+ years’ experience in delivering data-driven sales and marketing strategies to SaaS companies.
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