3. "We don't pay you to be 2 minutes late, over the course of a year, it's hundreds...

"We don't pay you to be 2 minutes late, over the course of a year, it's hundreds of dollars." Then I find out an interesting detail.

If the policy always favors the employer in practice it will violate some state laws.

This is far from my area of expertise, but the :07 thing is sketchy, too. The reason businesses round is to simplify bookkeeping. The laws allow rounding to "the nearest quarter hour" and a court or labor department could easily find that this policy does not satisfy that element of the law. It's not rounding if the result isn't a "round" number. I'm not sure what purpose it serves other than to skew timekeeping in the company's favor.

I am no employment lawyer, and this is far from legal advice. If you're an attorney who specializes in this area of law or otherwise an expert, please point out what I'm missing. But otherwise, as an attorney who has read a bunch of statutes, a DoL opinion letter, and several articles to figure this out, I really don't see how it's as clear cut as you think.

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