Wage and Hour Division investigation recovers $3.8M in overtime back wages owed to 1,100 employees of major oil pipeline inspection company in 40 states
SAND SPRINGS, OK – Oilfield pipeline inspectors work long hours performing critical work, keeping more than 2.6 million miles of pipe in the U.S. secure and the communities around them safe. When pipelines explode, the damage can be catastrophic to communities, economies and the environment. The oil and gas industry depends on independent inspection companies to protect this essential infrastructure.
A recent investigation by the U.S. Department of Labor’s Wage and Hour Division has recovered $3,852,968 in back wages for 1,100 employees of one of these inspection companies, FIS Holdings LLC of Sand Springs– which the division found had violated overtime requirements of the Fair Labor Standards Act.
Investigators discovered that the company, which does business as Frontier Integrity Solutions Operations LLC, paid workers a fixed amount per day, regardless of the number of hours that they worked. This practice resulted in violations when employees worked more than 40 hours in a workweek, but the employer failed to track those hours or pay workers overtime. The employees, in 40 states nationwide, typically worked between 50 and 60 hours per week. The employer’s failure to keep records of the number of hours employees worked also resulted in recordkeeping violations.
“These pipeline inspectors work hard to protect our communities, and now it’s our turn to protect them,” said Wage and Hour Division Principal Deputy Administrator Jessica Looman. “They deserve to be paid every cent of their hard-earned wages. Particularly as we emerge from a global pandemic, the Wage and Hour Division is committed to protecting the workplace rights of essential workers, and to leveling the playing field for employers who play by the rules. We invite workers who feel they are not being paid legally and employers with questions about their responsibilities to contact us to speak confidentially with a trained professional to have their questions answered or to file a complaint.”
FIS Holdings has paid overtime back wages to workers in the following states:
- New Mexico
- South Dakota
- North Carolina
- North Dakota
- Rhode Island
- West Virginia
- New Jersey
- South Carolina
FIS Holdings is a North American leader in oil and gas pipeline inspection and integrity services, serving customers in the U.S. and Canada.
For more information about the FLSA and other laws enforced by the division, contact the agency’s toll-free helpline at 866-4US-WAGE (487-9243). Learn more about the Wage and Hour Division, including a search tool to use if you think you may be owed back wages collected by the division.