Wage and Hour Division (WHD)
U.S. Department of Labor
AMARILLO, Texas -- Diversified Interiors of Amarillo Ltd. has paid 63 current and former employees $76,417 in overtime back wages following an investigation by the U.S. Department of Labor’s Wage and Hour Division, which found violations of the overtime and record-keeping provisions of the Fair Labor Standards Act.
An investigation by the division’s Albuquerque District Office found that the employer failed to pay employees required overtime premium for hours they worked beyond their scheduled workdays. Hours spent traveling to and from work sites, and any unscheduled hours that employees worked beyond their normal shifts, were paid at straight time rather than the time and-one-half of the employees’ regular rates of pay required by the FLSA when employees work beyond 40 hours in a workweek. Overtime hours that were scheduled had been paid at time and-one-half. Employees were shorted their overtime premium when the extra hours worked were unscheduled. The company also failed to maintain the required record keeping.
“Employers are legally obligated to properly compensate employees for all hours worked,” said Cynthia Watson, regional administrator for the Wage and Hour Division in the Southwest. “This includes travel between the employer’s facility and the job sites, and any other hours worked, whether scheduled or not. Other employers should use this case as an opportunity to ensure that their pay practices are in compliance, and that their employees are being properly paid. The Department of Labor will not hesitate to investigate and to seek remedies in cases where they are not.”
Diversified Interiors of Amarillo, a construction company that provides stud wall framing, Sheetrock and acoustical ceilings for commercial buildings, has agreed to comply with the FLSA in the future.
The FLSA requires that covered, nonexempt employees be paid at least the federal minimum wage of $7.25 per hour for all hours worked, plus time and one-half their regular rates, including commissions, bonuses and incentive pay, for hours worked beyond 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 work activity to the end of the last principal activity of the workday. Additionally, the law requires that accurate records of employees’ wages, hours and other conditions of employment be maintained.
For more information about the FLSA and other federal wage laws, call the Wage and Hour Division’s toll-free helpline at 866-4US-WAGE (487-9243) or the division’s Albuquerque office at 505 248-6100. Information is also available at http://www.dol.gov/whd.
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