Wage and Hour Division (WHD)
U.S. Department of Labor
US Department of Labor recovers nearly $40,000 in overtime back wages for 21 employees of Custom Electric Inc. in Waterloo, Neb.
Company failed to compensate for travel time
WATERLOO, Neb. -- The U.S. Department of Labor’s Wage and Hour Division has recovered $39,466 in overtime back wages for 21 employees of Custom Electric Inc. in Waterloo, Neb.
“We are pleased that these workers will receive the all the wages to which they are entitled,” said Michael Staebell, acting Wage and Hour Division district director in Des Moines, Iowa. “Employers must not only keep accurate records but ensure those records properly reflect the time for which employees need to be compensated.”
The Wage and Hour Division’s Des Moines District Office conducted a Fair Labor Standards Act (FLSA) investigation of the electrical contractor and found the company had not been recording or paying for compensable time for employees traveling to and from the company’s shop.
According to the FLSA, when computing overtime pay, employers are required to factor in compensable travel time both at the beginning and conclusion of the workday. The FLSA also requires covered, nonexempt employees to be paid at least the federal minimum wage of $7.25 per hour for all hours worked, and time and one-half their regular rates of pay for hours worked beyond 40 in a week. 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). Information is also available on the Internet at http://www.dol.gov/whd.
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