U.S. Department of Labor Investigation Results in Slidell, Louisiana Contractor Paying $78,038 to 12 Employees

News Release

U.S. Department of Labor Investigation Results in Slidell, Louisiana Contractor Paying $78,038 to 12 Employees

SLIDELL, LA – After an investigation by the a U.S. Department of Labor’s Wage and Hour Division (WHD), Superior Air Conditioning and Heating LLC – based in Slidell, Louisiana – has paid $78,038 in back wages and fringe benefits to 12 employees for violating requirements of the Davis-Bacon and Related Acts (DBRA) and the Fair Labor Standards Act (FLSA). 

Investigators determined that the company – which operates as Superior Services AC, Electric & Plumbing – failed to pay some employees the required prevailing wage, overtime and fringe benefit rates on a project subject to DBRA requirements. The employer inaccurately classified plumbers, sheet metal and electrical workers as laborers. Paying these workers at rates applicable to general laborers rather than those associated with their actual job classifications resulted in Superior Services paying wages lower than those required by law.

“Employees who perform work subject to federal prevailing wage rates must be paid the wages and benefits associated with the proper job classification,” said Wage and Hour Division District Director Troy Mouton, in New Orleans, Louisiana. “Misclassifying skilled workers as laborers, and paying those workers less than the applicable prevailing wage rate, is an avoidable violation which creates an unfair advantage for employers who pay lower wages than the law requires.”

Superior Air Conditioning and Heating LLC performed work as a subcontractor on a residential building project in Slidell, Louisiana. Indianapolis, Indiana-based Herman & Kittle Properties Inc. held the prime contract. 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.

For more information about the FLSA, DBRA, and other laws enforced by Wage and Hour Division, contact the division's toll-free helpline at 866-4US-WAGE (487-9243) or visit the division’s web site. The division also offers a search tool which allows users to determine if you are owed back wages collected by the division.

The mission of WHD 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.

Agency
Wage and Hour Division
Date
February 18, 2020
Release Number
20-164-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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U.S. Department of Labor to Host Roundtable to Discuss H-2A Program At Kansas State University Agricultural Research Center on Feb. 25, 2020

News Release

U.S. Department of Labor to Host Roundtable to Discuss H-2A Program At Kansas State University Agricultural Research Center on Feb. 25, 2020

HAYS, KS ­- The U.S. Department of Labor’s Wage and Hour Division (WHD) will host an Agricultural Roundtable Event focusing on compliance with the Fair Labor Standards Act (FLSA) and the H-2A Temporary Agricultural Employment of Foreign Workers Visa Program under the Immigration and Nationality Act (INA). The event will take place Feb. 25, 2020, at the Kansas State University (KSU) Agricultural Research Center in Hays, Kansas.

A WHD investigator will lead a discussion about employer obligations under federal law. Topics will include the FLSA’s minimum wage and overtime requirements, hourly vs. salary payments, timekeeping requirements and child labor, as well as requirements of the H-2A visa program. These requirements include contracts, recordkeeping, travel costs, meals, housing, transportation and the “three-quarter guarantee,” which ensures minimum amounts of available work for H-2A workers.

A roundtable discussion featuring frequently asked questions, and an open forum question and answer period with representatives of state and federal agencies will follow the presentation. Additional resources and compliance materials will be provided.

WHAT:
Wage and Hour Division H-2A Roundtable

WHEN:
Feb. 25, 2020

9:00 a.m. to 1:00 p.m. CST

WHERE:
KSU Agricultural Research Center

1232 240th Ave.
Hays, KS 67601

Register for the free event at: https://www.eventbrite.com/e/h-2a-rountable-event-tickets-91663964385

For additional information please contact Susan Lang at 316-361-2717 or lang.susan@dol.gov.

For more information about the H-2A program, visit the agency’s website at https://dol.gov/agencies/whd or call 866-4US-WAGE.

Agency
Wage and Hour Division
Date
February 11, 2020
Release Number
19-239-KAN
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number
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U.S. Department of Labor Investigation Results in Austin Restaurant Paying $98,520 in Owed Wages, Damages to Employees

News Release

U.S. Department of Labor Investigation Results in Austin Restaurant Paying $98,520 in Owed Wages, Damages to Employees

AUSTIN, TX – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Polvos I LLC – doing business as Polvo’s Mexican Restaurant in Austin, Texas – has paid $98,520 in back wages and liquidated damages to 19 employees to resolve overtime violations of the Fair Labor Standards Act (FLSA).

WHD investigators found that Polvo’s Mexican Restaurant paid kitchen employees flat weekly salaries without regard to 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 pay them overtime. WHD also cited the employer for recordkeeping violations of the FLSA, and for failing to provide employees with information about the Family and Medical Leave Act.

“Employers must pay their employees all the wages they have legally earned,” said Wage and Hour Division District Director Nicole Sellers in Austin, Texas. “The results of this investigation offer an opportunity for other employers to review their pay practices to make sure they comply with the law. The U.S. Department of Labor is committed to ensuring that employers have the information and tools they need to avoid costly violations like those found in this investigation.”

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.

Employers that discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program. For more information about the FLSA and other laws enforced by the division, contact the toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at https://www.dol.gov/agencies/whd including a search tool for workers who may be owed back wages collected by WHD.

The mission of WHD 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.

Agency
Wage and Hour Division
Date
February 11, 2020
Release Number
20-276-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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U.S. Department of Labor Recovers Back Wages and Damages For Oklahoma Healthcare Workers

News Release

U.S. Department of Labor Recovers Back Wages and Damages For Oklahoma Healthcare Workers

CUSHING, OK – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), AHS Cushing Hospital LLC – operating as Hillcrest Hospital Cushing in Cushing, Oklahoma – has paid $30,488 in back wages and liquidated damages to 12 employees to resolve violations of the overtime requirements of the Fair Labor Standards Act (FLSA).

Investigators found that the employer, a subsidiary of Ardent Health Systems, automatically deducted 30-minute meal breaks from employees’ work time regardless of whether or not they actually took those breaks. The employer violated the FLSA when it failed to pay employees for time they spent answering phones and continuing to perform their regular job duties through their scheduled breaks. The employer violated FLSA recordkeeping provisions by failing to keep accurate time records.

“Healthcare workers play a vital role in our society and must be paid for all the hours that they work,” said Wage and Hour Division District Director Michael Speer, in Oklahoma City, Oklahoma. “Other employers who automatically deduct break time from their employees should use the outcome of this investigation as an opportunity to evaluate their own practices to ensure they comply with the law. Employers can avoid costly violations like those in this case.”   

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.

Employers who discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program. For more information about the FLSA and other laws enforced by the Division, contact the toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at www.dol.gov/agencies/whd including a search tool for workers who may be owed back wages collected by WHD.

The mission of WHD 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.

Agency
Wage and Hour Division
Date
February 11, 2020
Release Number
20-167-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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U.S. Department of Labor Investigation Results in McDonald’s Franchisee Paying $48,258 For Violations of Federal Child Labor Laws, Additional $20,015 for Minimum Wage and Overtime Violations

News Release

U.S. Department of Labor Investigation Results in McDonald’s Franchisee Paying $48,258 For Violations of Federal Child Labor Laws, Additional $20,015 for Minimum Wage and Overtime Violations

LOUISVILLE, KY – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), NPT Partners I LLC – a Louisville, Kentucky-based franchisee of six McDonald’s restaurants – has paid a civil money penalty of $48,258 for violating child labor requirements of the Fair Labor Standards Act (FLSA). In addition, the franchisee has paid $20,015 in wages to eight employees for violating minimum wage and overtime requirements of the FLSA.

WHD investigators determined NPT Partners I LLC violated child labor requirements by employing 14- and 15-year-old employees to work outside of legally approved hours, and for more hours than allowed by law. Investigators found 66 minors worked more than 3 hours on a school day or more than 8 hours on a non-school day; worked more than 18 hours per week during school weeks or more than 40 hours per week in non-school weeks; and worked after 7:00 p.m. Labor Day through May 31 and after 9:00 p.m. June 1 through Labor Day – all FLSA violations. The employer also allowed 14- and 15-year-old employees to work in a hazardous occupation prohibited for this age group by engaging them in cooking activities involving deep-fat fryers not equipped with devices that automatically lower and raise the baskets into and out of the hot oil.

WHD also found NPT Partners I LLC violated the minimum wage requirement of the FLSA when they made an illegal deduction from an employee’s pay for a cash register shortage, causing the worker’s earnings to drop below the federal minimum hourly wage. The employer also violated overtime requirements by paying a salary to seven non-exempt employees and failing to pay them overtime when they worked more than 40 hours in a workweek.

“Child labor laws exist to strike a balance between providing meaningful work experience for young people and keeping them safe on the job while not interfering with their educational opportunities,” said Wage and Hour Division District Director Karen Garnett-Civils, in Louisville, Kentucky. “We encourage all employers – especially those who employ minors – to review their employment obligations and to contact the Wage and Hour Division for compliance assistance. Employers can avoid violations like those found in this case.”

WHD found the violations at the following Louisville locations operating as McDonald’s restaurants:

Store

Location

Hikes Store #5190

2961 Breckinridge Lane

Poplar Store #4924

3100 Poplar Level Rd.

Broadway Store #4776

207 W. Broadway

Dorsey Store #24375

9901 Ormsby Station Rd. 

Dutchman’s Store #23345

998 Breckinridge Lane

Lakeside Store #6806

2209 Taylorsville Rd. 

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.

For more information about the child labor standards, the FLSA, and other laws enforced by WHD, contact the division’s toll-free helpline at 866-4US-WAGE (487-9243). Employers that discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program.  Information is also available at https://www.dol.gov/agencies/whd, including a search tool to use if you think you may be owed back wages collected by the division.

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.

 

Agency
Wage and Hour Division
Date
February 5, 2020
Release Number
20-189-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino
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St. Augustine Hospital to Pay $107,185 in Overtime Wages After U.S. Department of Labor Investigation Finds Violations

News Release

St. Augustine Hospital to Pay $107,185 in Overtime Wages After U.S. Department of Labor Investigation Finds Violations

ST. AUGUSTINE, FL – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Flagler Hospital Inc. – based in St. Augustine, Florida – will pay $107,185 in back wages to 141 employees for violating the overtime and recordkeeping requirements of the Fair Labor Standards Act (FLSA).

WHD investigators found the hospital automatically deducted time from emergency room and labor and delivery employees’ timecards for meal breaks even when they worked through those breaks. This unpaid work time resulted in overtime being due when it occurred in workweeks longer than 40 hours. By improperly deducting the time, the employer also produced inaccurate records of the number of hours employees actually worked, violating FLSA recordkeeping requirements.

“Non-profit organizations are not excluded from the pay requirements of the Fair Labor Standards Act,” said Wage and Hour District Director Daniel White, in Jacksonville, Florida. “Employees must be paid all the wages they have legally earned. We encourage all employers to reach out to us for assistance and to use the variety of tools we offer to ensure that their pay practices comply with federal law.”

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.

For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the toll-free helpline at 866-4US-WAGE (487-9243). Employers who discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program. Information is also available at https://www.dol.gov/agencies/whd.

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.

Agency
Wage and Hour Division
Date
February 5, 2020
Release Number
20-139-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number
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Electric Contractor Pays $89,370 in Back Wages, Damages After U.S. Department of Labor Finds Overtime Pay Violations

News Release

Electric Contractor Pays $89,370 in Back Wages, Damages After U.S. Department of Labor Finds Overtime Pay Violations

LEVELLAND, TX – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Ricky L. Bryant Ltd. – doing business as Bryant Electric in Levelland, Texas – has paid $44,685 in back wages and an equal amount in liquidated damages to 43 employees for violating the overtime requirements of the Fair Labor Standards Act (FLSA).

WHD investigators found that the employer automatically deducted time for meal breaks from employees’ hours regardless of whether or not they had actually taken those breaks. The employer failed to pay employees who worked through their breaks for time they worked, and failed to record all of the hours employees worked – both FLSA violations.

“Employers must understand the law’s requirements and pay workers all of the wages they have legally earned,” said Wage and Hour Division District Director Evelyn Sanchez in Albuquerque, New Mexico. “The U.S. Department of Labor will continue to ensure that employees are paid as the law requires. Other employers that automatically deduct for meal breaks should use this investigation as an opportunity to review their pay practices to ensure they are not committing the same violation.”

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.

Employers that discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program. For more information about the FLSA and other laws enforced by the Division, contact the toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at www.dol.gov/agencies/whd including a search tool for workers who may be owed back wages collected by WHD.

The mission of WHD 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.

Agency
Wage and Hour Division
Date
February 3, 2020
Release Number
20-40-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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Texas-Based Contractor Pays $153,755 in Back Wages To Delivery Drivers after U.S. Department of Labor Investigation

News Release

Texas-Based Contractor Pays $153,755 in Back Wages To Delivery Drivers after U.S. Department of Labor Investigation

RICHARDSON, TX – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Accelore Group LLC – doing business as Accelore Solutions in Richardson, Texas – has paid $153,755 in back wages to 289 employees to resolve violations of the overtime requirements of the Fair Labor Standards Act (FLSA).

WHD investigators found that the employer, which contracts with Amazon to provide package delivery, failed to pay drivers overtime when they worked more than 40 hours per workweek. Investigators found the employer paid some employees flat rates per day, or for a fixed number of hours per day, without regard to the number of hours that they actually worked. By doing so, the employer violated FLSA overtime provisions by failing to pay time-and-one-half when employees worked more than 40 hours in a workweek. When the employer did pay overtime to hourly employees, the employer failed to include incentive pay when determining their overtime rates. This exclusion led to overtime being paid at rates lower than those required by law.

“Employers have a responsibility to understand the law and to pay their workers required overtime when they work more than 40 hours in a workweek,” said Wage and Hour Division District Director Jesus A. Valdez, in Dallas, Texas. “The U.S. Department of Labor is committed to enforcing the law so that employees are paid the wages they have legally earned, and so that employers compete on a level playing field. We encourage all employers to contact our office to learn more about federal wage laws.”   

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.

Employers that discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program. For more information about the FLSA and other laws enforced by the Division, contact the toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at www.dol.gov/agencies/whd including a search tool for workers who may be owed back wages collected by WHD.

The mission of WHD 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.

Agency
Wage and Hour Division
Date
February 3, 2020
Release Number
20-37-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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Local Government in Michigan Pays $54,945 in Back Wages to 48 Police and Firefighters after U.S. Department of Labor Investigation

News Release

Local Government in Michigan Pays $54,945 in Back Wages to 48 Police and Firefighters after U.S. Department of Labor Investigation

BELLEVILLE, MI – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Charter Township of Van Buren has paid $54,945 in back wages to 48 current and former employees for violations of the overtime requirements of the Fair Labor Standards Act (FLSA).

WHD investigators determined the Wayne County government entity – based in Belleville, Michigan – violated overtime provisions of the FLSA by failing to pay employees the required overtime specifically for time they spent working before their shifts officially began.  In addition, the employer paid some firefighters at straight-time rates for overtime hours worked and paid some police officers straight time for hours they spent in training, even when employees worked those hours in overtime workweeks.  

“Employers must pay their employees all the wages they have legally earned, and must understand the laws that apply to specific employment situations, such as, in this case, those that govern pay for public safety employees,” said Wage and Hour Division District Director Timolin Mitchell, in Detroit, Michigan. “The outcome of this investigation should remind other employers to review their pay practices to ensure they comply with the law. Employers are encouraged to contact the Wage and Hour Division to better understand their responsibilities so that they can avoid violations.”

The FLSA provides that fire protection or law enforcement employees may be paid overtime on a “work period” basis, with a work period ranging from seven to 28 consecutive days. WHD’s Fact Sheet about law enforcement and fire protection employees provides more information.

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.

For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the toll-free helpline at 866-4US-WAGE (487-9243). Employers who discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program. Information is also available at https://www.dol.gov/agencies/whd.

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.

Agency
Wage and Hour Division
Date
January 28, 2020
Release Number
20-43-CHI
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number
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U.S. Department of Labor Investigation Results in Michigan Towing Company Paying $58,551 in Overtime Back Wages to 66 Employees

News Release

U.S. Department of Labor Investigation Results in Michigan Towing Company Paying $58,551 in Overtime Back Wages to 66 Employees

CLINTON TOWNSHIP, MI – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Elite Road Service LLC – based in Clinton Township, Michigan – has paid $58,551 in back wages to 66 current and former employees to resolve violations of the overtime requirements of the Fair Labor Standards Act (FLSA).

WHD investigators determined the towing company paid tow truck drivers on a commission basis, without regard to the number of hours that they worked. The employer violated FLSA overtime provisions by failing to pay overtime when drivers worked more than 40 hours in a workweek. Investigators also found that the employer paid dispatchers flat weekly salaries, regardless of the number of hours that they worked, which led to additional violations when the employer failed to pay overtime when those employees worked more than 40 hours in a workweek. Failing to keep accurate records of the number of hours employees worked also violated the recordkeeping requirements of the FLSA.

“Simply paying employees a salary, or on a commission basis, does not mean that they are not entitled to overtime when they work more than 40 hours in a workweek,” said Wage and Hour Division District Director Timolin Mitchell, in Detroit, Michigan. “Employers should routinely review their pay practices to ensure they comply with the law. We encourage them to contact the Wage and Hour Division to understand their responsibilities better so that they can avoid similar violations. Wage and Hour professionals are available to answer questions and provide compliance assistance.”

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.

For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the toll-free helpline at 866-4US-WAGE (487-9243). Employers who discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program. Information is also available at https://www.dol.gov/agencies/whd.

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.

Agency
Wage and Hour Division
Date
January 28, 2020
Release Number
20-84-CHI
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number
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