Wage and Hour Division (WHD)
U.S. Department of Labor
MIAMI, Fla -- After missing a month’s worth of payroll, 49 employees of Miami manufacturer Hoover Industries have received $44,485 from the company following an investigation by the U.S. Department of Labor’s Wage and Hour Division.
The company agreed to make the payments after the agency successfully invoked Section 15(a) of the Fair Labor Standards Act (FLSA). Section 15(a) prohibits interstate shipment or foreign commerce of merchandise manufactured in violation of the FLSA. Often referred to as “hot goods,” this provision of the FLSA allows the department to obtain a court order to prevent goods from being shipped in interstate commerce when workers have not been paid. The prohibition is not limited to the employer but extends to anyone selling, shipping or receiving the goods.
“We are pleased that after explaining the FLSA rules to the company and our intention to prevent them from shipping their production to their customers, the company agreed to meet its legal obligations to its employees,” said Will Garnitz, director of the Wage and Hour Division’s district office in Miami. “These actions have enabled us to seek justice for these vulnerable workers.”
The FLSA requires that covered employees be paid at least the federal minimum wage for all hours worked, and time and one-half their regular rates of pay for hours worked over 40 per week. Employers must also maintain accurate time and payroll records. Effective July 24, 2009, the federal minimum wage for covered, nonexempt employees is $7.25 per hour.
Hoover Industries manufactures life preservers and life vests and is a division of Hoover Industries GmbH of Hamburg, Germany. The company closed its Miami facility in May.
For more information about the FLSA, employers and employees may call the department’s toll-free helpline at 866-4US-WAGE (487-9243), contact the Wage and Hour Division office in Miami, Sunset Center, 10300 Sunset Drive, Room 255; phone: 305-596-9874, or visit the Internet at http://www.wagehour.dol.gov.
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