Wage and Hour Division (WHD)
U.S. Department of Labor
Mallett Plumbing and Utility Co. pays more than $100,000 in back wages and benefits to 19 employees following US Labor Department investigation
Company failed to pay prevailing wage rates, overtime
OKLAHOMA CITY , Okla. -- Mallett Plumbing and Utility Co. in Oklahoma City has paid $100,264 in back wages to 19 current and former plumbers following an investigation by the U.S. Labor Department's Wage and Hour Division which found violations of the Fair Labor Standards Act and the Davis-Bacon and Related Acts (DBRA). The company failed to pay workers for overtime and failed to pay prevailing wage rates and fringe benefits.
"These workers did not receive the required prevailing wage rates, fringe benefits and overtime compensation that they earned," said Cynthia Watson, regional administrator for the Wage and Hour Division in the Southwest. "In this case, employees worked up to 50 hours a week without being paid proper hourly rates or overtime compensation. Employers enter into federal contracts knowing that they are required to pay prevailing wages and benefits to workers in accordance with federal guidelines for the localities in which they live. We will continue to use all of the enforcement tools at our disposal to ensure that taxpayer dollars that fund such contracts are properly spent."
The investigation by the Wage and Hour Division's Oklahoma City District Office determined that Mallett Plumbing and Utility paid straight time for all hours worked, failing to pay overtime at time and one-half employees' regular rates for hours worked beyond 40 in a workweek, as required by the FLSA. Additionally, the company failed to pay employees the required wages and fringe benefits applicable to the classifications of work they performed while working on building alterations and construction projects for the Health Resources and Services Administration and Federal Aviation Administration.
The company has agreed to future compliance with the FLSA and DBRA. Back wages have been paid in full.
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. Additionally, employers must maintain accurate time and payroll records.
The Davis-Bacon Act requires all contractors and subcontractors performing work on federal and certain federally-funded projects to pay their laborers and mechanics prevailing wage rates and fringe benefits determined by the secretary of labor. Generally, the employer is required to pay the health and welfare benefits for the first 40 hours worked by the employees in a workweek.
For more information about the FLSA, DBRA 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 Oklahoma City office at 405-231-4158. Information is also available at http://www.dol.gov/whd.
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