Wage and Hour Division (WHD)
U.S. Department of Labor
ABERDEEN, N.C. -- Lee Electrical Construction Inc. in Aberdeen, N.C., has agreed to pay $213,533.94 in back wages to 54 non-exempt hourly workers following an investigation by the U.S. Department of Labor’s Wage and Hour Division
The agency found that the employees worked more than 40 hours in a week without receiving overtime pay and were not paid for travel time that occurred after the beginning of the first principal activity, in violation of the Fair Labor Standards Act.
“FLSA clearly states that non-exempt employees covered by the Act must receive overtime pay for hours worked over 40 in a workweek at a rate not less than time and one-half their regular rates of pay,” said Richard Blaylock, Wage and Hour Division district director in Raleigh, N.C. “Employees and employers cannot make their own arrangements in violation of federal law.”
A Wage and Hour investigator found that the employer paid his hourly employees straight time for all hours worked regardless of the length of the workweek. Employees were given time off to compensate them rather than paying the premium portion of the overtime hours worked.
The FLSA requires that covered employees be paid time and one-half their regular rates of pay, including commissions, bonuses and incentive pay, for hours worked over 40 per week. In general, “hours worked” includes all time an employee must be on duty, or on the employer’s premises or at any other prescribed place of work, from the beginning of the first principal activity of the workday to the end of the last principal work activity of the workday. Additionally, the law requires that accurate records of employees’ wages, hours and other conditions of employment be maintained. The current federal minimum wage for covered, nonexempt employees is $7.25 per hour.
For more information about this investigation, call the Wage and Hour Division’s District Office at 919-790-2742. For more information about the FLSA, call the division’s toll-free helpline at 866-4US-WAGE (487-9243). Information is also available on the Internet at http://www.dol.gov/whd.
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