Indiana watermelon packer/shipper pays more than $58K in back wages, damages to 14 workers after failing to pay overtime

Type of Action: Fair Labor Standards Act Consent Judgment

Defendant(s): Indian Hills Produce Inc. and John Toth

Allegations: An investigation by the U.S. Department of Labor’s Wage and Hour Division found that Indian Hills Produce and owner John Toth violated the overtime provisions of the Fair Labor Standards Act by failing to pay 14 workers overtime for hours worked beyond 40 in a workweek. The defendants paid workers at a Vincennes, Indiana, facility on a piece-rate basis, without regard to how many hours they worked, to pack watermelons from growers around Indiana and elsewhere.

Resolution: Under the terms of a consent judgment entered in federal court, the company has paid 14 workers a total of $58,226 which includes $29,113 in back wages and an equal amount in liquidated damages. Indian Hills Produce has also paid $15,400 in civil money penalties for willful violations of the FLSA.

Quote: “Paying employees on a piece-rate basis does not absolve an employer of its responsibility to pay overtime,” said Patricia Lewis, district director for the Wage and Hour Division in Indianapolis. “Indian Hills Produce attempted to conceal its overtime violations. The company knows the rules and is now on notice that the division will not tolerate Indian Hill’s continued disregard of federal wage laws at any of its locations. The resolution of this case should send a strong message to other employers who attempt to deny workers their rightful wages that the division will use every enforcement tool available to end the exploitation and unfair treatment of vulnerable agricultural workers. A fair day’s work deserves a fair day’s pay.”

Background: Based in Groveland, Florida, Indian Hills Produce violated the FLSA for not paying overtime to workers at the same Indiana facility, the division found in 2013.

Court: U.S. District Court for the Southern District of Indiana

Docket Number: 15-cv-221