Florida-based Elevator Contractor Pays $115,839 in Wages After U.S. Department of Labor Finds Federal Contract Violations
MIAMI, FL – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Global Elevators Sales and Service Inc. – an elevator installation and maintenance contractor based in Hialeah, Florida – has paid $115,839 in back wages to four employees for violating requirements of the Fair Labor Standards Act (FLSA) and the Davis-Bacon and Related Acts (DBRA).
WHD found that Global Elevators Sales and Service Inc. violated the Davis-Bacon Act after it incorrectly classified two employees as laborers instead of elevator mechanics. As a result, the employer paid the two workers prevailing wage rates lower than those required by law, and failed to pay them required fringe benefits. In addition, Global Elevators failed to record and pay for time employees worked before and after their scheduled shifts. This unpaid time spent loading and unloading trucks, and traveling to and from worksites resulted in overtime violations under the FLSA.
“Contractors and subcontractors must accurately classify employees for the jobs they actually perform,” said Wage and Hour Division District Director Tony Pham, in Miami, Florida. “The Wage and Hour Division will continue working to level the playing field for employers that play by the rules and to ensure workers receive the wages they have legally earned. We encourage all employers to reach out to us and to use the variety of tools we offer to ensure their pay practices comply with federal law.”
Global Elevators Sales and Service Inc. performed work as a subcontractor on a contract that Miami-Dade County Public Housing and Community Development awarded to Fortune Urban Construction LLC. The DBRA-covered contract called for work at the Martin Fine Villa construction project in Miami.
The DBRA requires contractors and subcontractors performing work on federal and certain federally funded projects to pay workers prevailing wage rates and fringe benefits as determined by the U.S. Secretary of Labor and as included in their contracts.
The Department offers numerous resources to ensure employers have the tools they need to understand their responsibilities and to comply with federal law, such as online videos, confidential calls, or in-person visits to local WHD offices.
WHD’s mission is to promote and achieve compliance with labor standards to protect and enhance the welfare of the nation’s workforce. WHD enforces federal minimum wage, overtime pay, recordkeeping, and child labor requirements of the Fair Labor Standards Act. WHD also enforces the Migrant and Seasonal Agricultural Worker Protection Act, the Employee Polygraph Protection Act, the Family and Medical Leave Act, wage garnishment provisions of the Consumer Credit Protection Act, and a number of employment standards and worker protections as provided in several immigration related statutes. Additionally, WHD administers and enforces the prevailing wage requirements of the Davis Bacon Act and the Service Contract Act and other statutes applicable to federal contracts for construction and for the provision of goods and services.
The mission of the Department of Labor is to foster, promote, and develop the welfare of the wage earners, job seekers, and retirees of the United States; improve working conditions; advance opportunities for profitable employment; and assure work-related benefits and rights.