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WHD News Release: [02/09/2012]
Contact Name: Elizabeth Todd or Juan Rodriguez
Phone Number: (972) 850-4710 or x4709
Release Number: 12-0182-DAL
Baytown, Texas, companies pay 121 workers more than $200,000 in overtime back wages following US Labor Department investigation
Truck drivers in Baytown, Houston and New Braunfels, Texas, affected
BAYTOWN, Texas Angel Brothers Enterprises LLC and Century Asphalt Ltd. in Baytown, equally owned by Gary Angel and Greg Angel, have paid $201,572 to 121 current and former end dump and tanker drivers in Baytown, Houston and New Braunfels after an investigation by the U.S. Department of Labor's Wage and Hour Division found violations of the Fair Labor Standards Act's overtime and record-keeping provisions.
Angel Brothers Enterprises and Century Asphalt provide underground utility, concrete and asphalt paving services. An investigation by the division's Houston District Office found that the drivers were paid a percentage of the revenue generated by their loads, without regard to how many hours had been worked. As a result, they did not receive required overtime compensation when their hours exceeded 40 in a week. Additionally, records of employees' hours worked were not kept.
"The Labor Department wants to ensure that employees who put in an honest day's work receive an honest day's pay. These workers were paid 'straight' time instead of time and one-half their regular rates for hours worked over 40 in a week," said Cynthia Watson, regional administrator for the Wage and Hour Division in the Southwest. "The FLSA provides protection not only to workers, but also to employers who depend on the department to ensure that other companies do not receive an unfair advantage by dodging the law. Protections for employees are essential to a healthy economy. The overtime compensation requirement spurs job creation because it encourages employers to spread employment opportunities by hiring more workers. When employers don't comply, everyone loses."
Angel and the companies agreed to maintain accurate payroll records and comply with the FLSA in the future. Back wages owed have been paid in full.
The FLSA requires that covered, nonexempt employees be paid at least the federal minimum wage of $7.25 for all hours worked, plus time and one-half their regular rates of pay, including commissions, bonuses and incentive pay, for hours worked beyond 40 per week. Employers are also required to maintain accurate time and payroll records.
For more information about the FLSA and other federal wage laws, call the Wage and Hour Division's toll-free helpline at 866-4US-WAGE (487-9243) or its Houston District Office at 713-339-5500. Information also is available on the Internet at http://www.dol.gov/whd/.
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