Wage and Hour Division (WHD)
U.S. Department of Labor
DENVER, Col. -- Schlumberger Technology Corp., with locations in Rock Springs, Wyo., and Grand Junction, Colo., has paid more than $320,000 in back wages and civil money penalties following a U.S. Department of Labor Wage and Hour Division investigation that disclosed violations of the Fair Labor Standards Act’s (FLSA) overtime provisions.
Wage and Hour Division investigators found that the oil and gas industry employer violated the FLSA by not paying employees time and one-half their regular rates for hours worked beyond 40 in a workweek, resulting in $280,605 in back wages owed to 246 employees.
Houston, Texas-based Schlumberger further paid $40,590 in civil money penalties as a result of the violations.
“The welfare of our workforce depends on ensuring workers receive the wages they’re due, and the Labor Department is committed to ensuring just that,” said Cynthia Watson, the Wage and Hour Division’s regional administrator in Dallas, Texas.
Specifically, an investigation at Schlumberger’s branch location in Grand Junction disclosed that bonuses were not included in the regular rate for purposes of computing overtime; a similar issue was disclosed at the company’s Rock Springs location. Schlumberger cooperated fully with the Labor Department to help ensure corporate-wide compliance with the FLSA.
The Wage and Hour Division’s Denver District Office conducted the investigation.
The FLSA requires covered, nonexempt employees to be paid at least the federal minimum wage of $6.55 per hour for all hours worked, and time and one-half their regular rates of pay for hours worked beyond 40 in a week. The FLSA provides that the regular rate includes an employee’s hourly rate plus the value of some other types of compensation such as bonuses. The minimum wage will increase to $7.25 per hour as of July 24, 2009. Under the law, employers must also maintain accurate time and payroll records.
For more information about the FLSA, call the Department of Labor’s toll-free helpline at 866-4US-WAGE (487-9243). The Denver District Office may be reached at 720-264-3250. Information is also available on the Internet at http://www.wagehour.dol.gov.
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