Paychex Paints a Pallid Picture

Paychex Paints Pallid Picture <~~~ Click for full article

• Q2 revenues grew 3% over last year's second quarter, a slight deceleration from the already anemic pace set in Q1.
• Profits per diluted share declined 3% to $0.39 -- once again, a worse result than in Q1.
• And guidance for the rest of the year is no better. Management predicts that we will cruise through fiscal 2009 on a 3% year-over-year rise in revenues, even as profits continue trending downwards by about 6%.

Dilbert Takes a Shot at Best Places to Work

Paychex Cheats Employees of Overtime!!! LAWSUIT!!!

Well, so much for being "The Most Ethical Company" or "Best Places to Work"!!! Ethical companies do NOT cheat employees out of earned overtime and any company that is truly a "Top Place to Work" certainly would gladly pay for time worked.

Click here for more info

New York Employees of Paychex, Inc. Seek Overtime Compensation

Case ID: 3101 | Employment |

A statewide class and collective action has been filed in New York against payroll giant, Paychex, Inc. The action is brought on behalf of all current and former employees who, since December 22, 1997, worked in either inside insurance sales or payroll service sales and were not paid overtime compensation. The action is brought under both New York labor law and the federal Fair Labor Standards Act and seeks back pay, statutory and liquidated damages as well as injunctive and declaratory relief. As a collective action, all potential claimants are required to voluntarily "opt-in" to be a considered a member of the class. The employees have requested that the court issue notice to all potential claimants. This action arises from what employees claim is a systematic and intentional scheme to deprive hourly employees of proper statutory overtime compensation. Under both the federal Fair Labor Standards Act and New York labor law, all "non-exempt" employees are entitled to, at a minimum, time and a half for all hours worked beyond 40 per week. The Paychex employees, who worked inside sales positions in payroll and insurance service, claim that they were non-exempt, were paid hourly. They assert that Paychex, one of the nation’s largest payroll and tax service providers, was well aware that they were entitled to overtime compensation. The employees allege that Paychex willfully and intentionally failed to pay overtime, that it was, in fact, corporate policy. This, they claim, entitles them to liquidated damages under the Fair Labor Standards Act in addition to compensatory and statutory damages under federal and state law.

Paychex Unfair Gas Reimbursement Policy

(Received via email)

Hello,

I have been working at Paychex the past five years and I agree entirely with your viewpoint, so I thought that I would take a moment and share this little nugget with you.

I am currently working at Paychex as a Client Trainer. I travel between client sites installing the payroll software and then delivering the payroll training as well. Our mileage reimbursement has been locked in at 0.37 cents per mile even after gas prices climbed to over two, and then three, and then four dollars a gallon. Paychex understood the impact on our net pay because we asked the corporate office on several occasions to reconsider the current rate and raise it according to the increase in gasoline prices at the pump and they never budge from their position. On November 1st, of this year, 2008, a memo came out finally changing the policy and thereby increasing the rate to 0.43 cents per gallon. What's most interesting is now that gas prices have fallen, a memo released late last week has reinstated the previous 0.37 cents per gallon. Funny how it took over two years to increase the rate at they expense of their employee's and then within a matter of several weeks were able to act expeditiously, when it was in their own best interest to lower the rate once again.

Doesn't sound like the Paychex brand really values their employee's after all, does it?

(Editors note: IRS guidelines place reimbursement for fuel at 55 cents per mile. Paychex has many reimbursement policies. Depending on the employees position at the company, Paychex pays as little as SIXTEEN cents per mile for employees who use a personally owned car for company purposes. Shameful!)

Golisano a Megalomaniacal Fruitcake !!!

(Received by Email):

I just found your site by accident. I worked for Paychex for four years, and I must say their management in my local office was the least competent group of people I have ever been associated with in any capacity. To a man, the entire team was undereducated, completely devoid of logic and the ability to reason, and they were the most indecisive group of people in the world. In leadership at any level, it’s necessary to make decisions, and even when a bad decision is made, a certain measure of respect must be given just for having ‘pulled the trigger’ – When all in leadership refuse to make a decision surrounding business needs as they watch their client base shrink, it’s a pathetic site to behold. I watched as business walked out the door and went to ADP (Where I have now worked for 7 years). Now, I take Paychex’ business away from them almost effortlessly – they may have clients who are satisfied, but they have MANY who are eager to terminate their services and sever their ties with Paychex.

On a side note, I personally witnessed Mr. Golisano verbally dress-down and berate an entry-level employee, swearing and cursing at him, just because he did not like the gentleman’s necktie – I saw this, and heard every word while onsite in Rochester, NY for training. When a company is run by a megalomaniacal fruitcake, how can one expect it to be a good place to work?

Paychex Article in the Democrat & Chronicle

Paychex CEO Jon Judge was recently interviewed in the D&C. You can read the article HERE.

Perhaps more interesting than the article itself are some of the comments posted on the D&C Message Board. Here are few for your consideration (my comments in red):

sinistra7/9/2008 11:11:37 AM
From what I've heard, you actually work for paychex. You aslo made some not so flattering comments about Mr. Golisano a couple of days ago....people at paychex have been made aware of those commnets,... Well, kids, this is typical. Post your honest opinion, and risk retaliation.

alphasquirrel6/5/2008 4:09:14 PM
paychex just last year lost a class action lawsuit brought by ex employees and had to pay for overtime. Retro for several years. Ethical? Yeah right! This is news to me! If Mr. Squirrel or anyone else has any details on this, please send it along to me!!!

CliffM6/26/2008 9:42:48 PM
if you don't like what you are making at paychex why don't you leave? No one is forcing you to stay there. there are thousands of people who want to work at paychex. I don't work at paychex. Where... Yes, yes. The typical "Love it or Leave it" position. Where would this country be if we all took that attitude? How about "Expose the truth and work to improve the situation"? Isn't that a better position to support???

UnknownTroll7/8/2008 1:42:47 PM
paychex has been screwing its workforce for ages. The D & C has been giving this company free leverage for years. The HR Dept is incompetently run, and they pay call center people below McDonalds ...

Poor mileage reimbursement policy - Sixteen cents per mile???!!!???

“Great first job but not a career place”
HR Services in Richmond, VA (United States) Past Employee (2007)

ProsGood benefits; work/life balance is not good in payroll.

ConsBase compensation is ok, but mileage and expense reimbursements are poor, which is an issue when you drive 300+ miles per week for the company. While you can "settle" that on your personal tax return, you spend a lot of personal money throughout the year that you can only get back or write off once per year on your taxes.

Advice to Senior ManagementNot enough done as a result of the employee survey, so why bother doing it next time?