Many employers have  employees who work in more than one L&I job classification. For example, a painter has one rate for interior or ground-level work and another for exterior work done on scaffolding. Because of the differences in the rates, employers may save money by splitting work between these job classifications.

Here is what the Washington State L&I Employer Guide says about this procedure:

The worker hours of any one employee may be divided for reporting purposes between two or more assigned basic risk classifications. This may be done only when accurate records of actual hours worked, supported by original timecard or time-book entries, document the division of duties.

You may not divide a worker’s hours between a “basic” classification and a “standard exception” classification, or between two standard exception classes. Standard exceptions are clerical office (class 4904), auto/truck/camper/trailer/mobile home/motorcycle and pleasure craft sales personnel (class 6301), door-to-door sales (class 6302), outside sales, (class 6303), LLC members/manager (class 7100), corporate officers (class 7101), and permanent yard or shop (class 5206).

If you do not keep accurate records of divided worker hours, all of a worker’s hours must be reported in the highest rated classification in which the worker has duties. Estimates or percentages are not acceptable documentation for splitting hours.

Clearly, documentation is the essential ingredient.

Tracking hours can be achieved in a variety of ways. One of the simplest is to adopt a time sheet that allows multiple entries per day, with room for a description of the activity performed in each block of time. A painter’s time sheet might show 8/13/09, 8-10 am, Interior Painting; 8/13/09 10-12 Exterior Painting; 12-1 pm Lunch break; 1-5 pm Exterior Painting.

Tags: L&I,splitting worker hours
Categories: Tax News and Tips
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