Please note: As of January 20, 2017, information in some news releases may be out of date or not reflect current policies.

News Brief

Orange County recycler to pay 7 workers $113K in back wages, penalties

Employers: Sanchez Recycling, Inc.

Sites: 2018 East Orangeview, Placentia, California (Main office/yard)
1459 South Anaheim Blvd., Anaheim, California
1130 West 6th St., Corona, California
2560 North Perris Blvd., Perris, California

Investigation findings: Investigators with the U.S. Department of Labor’s Wage and Hour Division found that Sanchez Recycling, Inc. violated the Fair Labor Standards Act’s overtime and recordkeeping provisions.  Specifically, the employer paid some employees flat salaries, in cash, regardless of how many hours they worked. This created overtime violations when they worked more than 40 hours in a week without the proper payment. The employer also failed to pay other workers for some overtime hours at all, and paid for others at straight time rates. Sanchez also failed to keep accurate records of the hours its employees worked.

Resolution: The company will pay $56,953 in back overtime wages and an equal, additional amount in damages to seven employees.  

Quote: “Sanchez Recycling showed complete disregard for the most basic worker protections,” said Rodolfo Cortez, director of the Wage and Hour Division’s San Diego District Office. “These employees worked long hours and this employer routinely shorted their pay, hurting not only the workers themselves but also their families and their communities. The resolution of this case should send a clear message to others in this industry who may be paying workers in a similar manner – the Wage and Hour Division will use every tool available to ensure that workers are paid every penny they’re owed.”  

Background:  The department issued a press release in 2015 chronicling the high rates of wage and hour violations in Southern California’s recycling industry.

Information: For more information about federal wage laws administered by the Wage and Hour Division, call the agency’s toll-free helpline at 866-4US-WAGE (487-9243). Information also is available at http://www.dol.gov/whd/.

Agency
Wage and Hour Division
Date
May 18, 2016
Release Number
16-0617-SAN
Contact: Leo Kay
Phone Number
Contact: Jose Carnevali