U.S. Department of Labor Recovers $130,000 for Employees of San Marcos, Texas Security Company to Resolve Minimum Wage, Overtime Violations

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U.S. Department of Labor Recovers $130,000 for Employees of San Marcos, Texas Security Company to Resolve Minimum Wage, Overtime Violations

AUSTIN, TX – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), U.S. Security Service PLLC in San Marcos, Texas has paid $133,070 to resolve minimum wage and overtime violations of the Fair Labor Standards Act (FLSA).

WHD investigators found that the employer, which provides security services to clients in New Braunfels, San Marcos, Kyle and Austin, Texas, made deductions from employees’ wages to pay for uniforms. This practice resulted in violations when these deductions brought their hourly wages below the federally required $7.25 per hour. U.S. Security Service also incorrectly classified security guards as independent contractors and subsequently failed to pay them overtime when they worked more than 40 hours per week. WHD also cited the employer for recordkeeping violations.

“During the busy holiday season, security guards often work extra hours, and employers must pay them all of the wages they’ve legally earned,” said Wage and Hour Division District Director Nicole Sellers in Austin, Texas. “This case should remind all employees to review their pay and recordkeeping practices to ensure they pay their employees properly and avoid violations of the law. We encourage employers to contact the Wage and Hour Division for assistance in understanding their responsibilities.”

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. 

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.

 

Agency
Wage and Hour Division
Date
December 31, 2019
Release Number
19-2111-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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U.S. Department of Labor Investigations Result in Two Idaho Agricultural Employers Paying $51,571 in Back Wages and Penalties for Multiple H-2A Violations

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U.S. Department of Labor Investigations Result in Two Idaho Agricultural Employers Paying $51,571 in Back Wages and Penalties for Multiple H-2A Violations

BOISE, ID – After separate investigations by the U.S. Department of Labor's Wage and Hour Division (WHD), two agricultural employers in Idaho have paid a combined $24,625 in back wages to 19 employees for multiple violations found under the H-2A temporary agricultural worker visa program. The employers have also paid a total of $26,946 in civil money penalties.

WHD found Alan Brown – a commercial beekeeper and honey producer in Soda Springs, Idaho –  gave preferential treatment to H-2A workers by paying a U.S worker less for doing the same work. The employer also failed to meet housing safety and health requirements; pay transportation and other expenses to H-2A workers traveling to and from Peru; and meet the frequency of pay requirements.

Investigators also found that Brown retained the H-2A workers' passports and visas, failed to provide the employees with pay statements, failed to pay the required rates, and made impermissible pay deductions from workers' earnings.

In a separate investigation, WHD found Forrest Arthur – a sheepherder and agricultural grower and harvester in Paul, Idaho – in violation of several H-2A visa program requirements. Investigators determined Arthur failed to reimburse H-2A workers from Peru and Mexico for transportation expenses to and from their home countries, failed to pay the required rates of pay to some workers, and failed to meet required housing and transportation safety requirements.

"Investigations like these demonstrate the continued need for agricultural employers to understand and abide by the labor provisions of the H-2A visa program," said Wage and Hour District Director Thomas Silva in Portland, Oregon. "Our work in this area safeguards American jobs while protecting the wages of all agricultural workers. We urge employers to use the many tools and resources we offer to ensure that employees get paid as the law requires and that employers compete fairly on a level playing field."

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, electronic toolkits, or in-person visits with local WHD staff.

For more information about the H-2A visa program, the Migrant and Seasonal Agricultural Worker Protection Act (MSPA), 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/whd, including a search tool for workers who may be owed back wages collected by 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
December 23, 2019
Release Number
19-1900-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali
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U.S. Department of Labor Investigation Results in Northern California Medical Transport Company Paying Employees $147,416 for Overtime Violations

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U.S. Department of Labor Investigation Results in Northern California Medical Transport Company Paying Employees $147,416 for Overtime Violations

SAN FRANCISCO, CA – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), American West Medical Transport – a northern California non-emergency medical transport company – will pay $147,416 in back wages to 36 employees for violations of the overtime provisions of the Fair Labor Standards Act (FLSA).

WHD investigators found American West Medical Transport paid drivers flat salaries, without regard to the number of hours they worked. By doing so, the employer failed to pay them overtime when those employees worked more than 40 hours in a workweek, as required. Additional violations occurred when the employer paid hourly workers straight-time rates for their overtime hours. The Elk Grove, California-based employer also failed to record the total number of hours employees actually worked accurately, a violation of FLSA recordkeeping requirements.

"Simply because a pay practice appears to be common within an industry does not necessarily mean that it complies with the law," said Wage and Hour Assistant District Director Nora Pedraza, in Sacramento, California. "The U.S. Department of Labor is committed to educating employers and improving compliance to ensure workers receive the wages they have earned and that employers compete on a level playing field. Violations like those found in this investigation can be avoided."

American West Medical Transport provides non-emergency medical transportation in and around the greater Sacramento and San Jose areas.

For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the Division's 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 www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by 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.

Agency
Wage and Hour Division
Date
December 23, 2019
Release Number
19-1840-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali
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U.S. Department of Labor Investigation Results in West Virginia Construction Company Paying $242,039 in Back Wages and Damages

News Release

U.S. Department of Labor Investigation Results in West Virginia Construction Company Paying $242,039 in Back Wages and Damages

NITRO, WV After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Apex Pipeline Service Inc. has entered into a consent judgment with the Department requiring payment of $121,019 in back wages, with an equal amount in liquidated damages, to 243 employees at its Nitro, West Virginia, facility.  The consent judgment was approved by the U.S. District Court for the Southern District of West Virginia-Charleston Division.

WHD investigators found that - from April 2016 to March 2018 - Apex Pipeline Service Inc. violated the Fair Labor Standards Act (FLSA). WHD determined that the employer misclassified field office managers and safety coordinators as exempt from overtime, and subsequently failed to pay them overtime when they worked more than 40 hours per week. Apex Pipeline Services Inc. provides construction services to the oil and gas industry. 

WHD also found the employer made per-diem payments to union employees based on their craft performed, regardless of the employees’ travel status or the distance from home to worksite. The employer also paid non-union employees per diem based on the employer’s own established rates. When an employer does not make payments to workers for legitimate travel, the law requires the employer to include those amounts in the employees’ regular rates when determining overtime payment. In neither case did the employer do so, resulting in payment of overtime at rates below those required by law. The employer also failed to maintain required records and to post a current FLSA poster.

“Our work continues to ensure that employees are paid the wages they have legally earned, and that employers compete on a level playing field,” said Wage and Hour District Director John DuMont in Pittsburgh, Pennsylvania. “The U.S. Department of Labor is committed to holding employers accountable when they fail to meet their responsibilities. We encourage all employers to reach out to us for compliance assistance.”

WHD is committed to providing employers with the tools they need to assist them in fulfilling their obligation to understand and comply with the variety of laws the Division enforces. 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 federal wage laws, call the Division’s toll-free helpline at 866-4US-WAGE (487-9243). Information also is available at http://www.dol.gov/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 FLSA. 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
December 23, 2019
Release Number
19-1126-PHI
Media Contact: Leni Fortson
Media Contact: Joanna Hawkins
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Las Vegas Restaurant Company Pays $190,195 to 66 Employees For Overtime Violations Found by U.S. Department of Labor

News Release

Las Vegas Restaurant Company Pays $190,195 to 66 Employees For Overtime Violations Found by U.S. Department of Labor

LAS VEGAS, NV After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Jesus Felipe Vazquez and Martha Vazquez – owners of a restaurant company with three locations in Las Vegas, Nevada – have paid $190,195 in back wages and damages to 66 employees for violating the overtime requirements of the Fair Labor Standards Act (FLSA).

WHD investigators determined the owners of La Mojarra Loca #1, La Mojarra Loca #2, and La Mojarra Loca Grill, failed to pay required overtime when dishwashers, servers, cooks and food preparers worked more than 40 hours in a week, as required. Instead, they continued to pay employees their straight-time rates for the overtime hours, in cash. They also violated FLSA recordkeeping requirements by failing to maintain accurate payroll and time records for employees.

“Employers are responsible for ensuring employees receive all the wages they have legally earned, including overtime,” said Wage and Hour District Director Gaspar Montanez, in Las Vegas, Nevada. “Investigations like these ensure that employees get paid and that employers compete on a level playing field. In addition to our enforcement we continue our robust educational efforts to help employers understand their responsibilities and to help workers understand their rights.”

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. In addition, WHD provides employers with compliance assistance resources related to overtime to help them comply with the FLSA.

For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the Division’s 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 www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by 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
December 23, 2019
Release Number
19-1853-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali
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U.S. Department of Labor Recovers $82,468 in Wages for Employees After Investigation Finds South Carolina Auto Parts Supplier Missed Several Payrolls

News Release

U.S. Department of Labor Recovers $82,468 in Wages for Employees After Investigation Finds South Carolina Auto Parts Supplier Missed Several Payrolls

NORTH CHARLESTON, SC – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Quality Vision LLC – an automotive parts supplier based in North Charleston, South Carolina – has paid $82,468 in wages to 24 employees for violating minimum wage and overtime provisions of the Fair Labor Standards Act (FLSA).

WHD investigators determined Quality Vision LLC violated the FLSA when it missed payrolls covering several bi-weekly pay periods and failed to pay employees any wages for those workweeks.

“Employers are required by the Fair Labor Standards Act to pay their employees all the wages they have legally earned,” said Wage and Hour Division District Director Jamie Benefiel, in Columbia, South Carolina. “Missed payrolls place undue hardships on employees, greatly affecting their ability to provide for themselves and their families. We encourage employers and employees to contact the Wage and Hour Division directly if they have questions about compliance with federal pay requirements.”

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 WHD, 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/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
December 19, 2019
Release Number
19-1813-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino
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American Samoa Power Authority to Pay Employees $110,865 After U.S. Department of Labor Finds Overtime Violations

News Release

American Samoa Power Authority to Pay Employees $110,865 After U.S. Department of Labor Finds Overtime Violations

HONOLULU, HI – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), the American Samoa Power Authority – an American Samoa public utility – will pay $110,865 to 180 employees for violating overtime requirements of the Fair Labor Standards Act (FLSA).

WHD investigators found the American Samoa Power Authority altered employees' time records to cap shifts at eight hours each day, regardless of the number of hours they actually worked. When employees worked late and punched out after their scheduled shift ending times, the employer changed the time records to remove the extra hours. This practice resulted in unpaid time, and in overtime violations when employees worked more than 40 hours in a workweek. The inaccurate timekeeping also violated FLSA recordkeeping requirements.

"Employers must record and pay employees for all the time that they work, including overtime," said Wage and Hour Division District Director Terence Trotter in Honolulu, Hawaii. "The U.S. Department of Labor is committed to educating employers and improving compliance with federal wage laws to ensure workers receive the wages they have earned and that employers compete on a level playing field. Other employers should use this as an opportunity to evaluate their own pay practices to ensure they comply with the law."

The American Samoa Power Authority provides electricity, water, wastewater and solid waste service to more than 60,000 residents of American Samoa's islands and atolls.

For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the Division's 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 www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by 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
December 17, 2019
Release Number
19-2119-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali
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Fairfield County Restaurants Pay $116,087 in Back Wages and Liquidated Damages to 35 Employees After U.S. Department of Labor Investigation

News Release

Fairfield County Restaurants Pay $116,087 in Back Wages and Liquidated Damages to 35 Employees After U.S. Department of Labor Investigation

HARTFORD, CT – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), four Fairfield County, Connecticut, restaurants and their owners have paid a total of $116,087 in back wages and liquidated damages to 35 employees for violating the overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

WHD found the restaurants - Garelick & Herbs of Westport Inc., Garelick & Herbs of Greenwich, Inc., Garelick & Herbs of New Canaan Inc., and Garelick & Herbs of Saugatuck Inc. - and owners, Jason A. Garelick and Paola V. Garelick, violated FLSA overtime requirements when they paid hourly employees straight time rates for hours they worked beyond 40 in a workweek. They also paid kitchen staff on a shift or salary basis, resulting in additional overtime violations when these employees worked more than 40 hours per week yet were not paid overtime. WHD also cited the employers for recordkeeping violations for failing to maintain records of the number of hours worked by kitchen employees.

“Employees must receive all the wages they have earned,” said Wage and Hour Division District Director David R. Gerrain, in Hartford, Connecticut. “These types of violations can be avoided. We encourage employers to reach out to us for information and assistance in understanding their responsibilities.”

In addition to the back wages and damages, the employers agreed to comply with the FLSA, adopt and distribute to all employees a written leave and overtime policy, and to provide FLSA compliance training to all managers at all their restaurants.

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 Division's 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 www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by 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
December 19, 2019
Release Number
19-702-BOS
Media Contact: James C. Lally
Phone Number
Media Contact: Ted Fitzgerald
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New Hampshire Resort Pays $124,999 in Back Wages and Penalties To Resolve H-2B Violations Found By U.S. Department of Labor

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New Hampshire Resort Pays $124,999 in Back Wages and Penalties To Resolve H-2B Violations Found By U.S. Department of Labor

MANCHESTER, NH – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), The NASWA Motor Inn Inc. – doing business as The NASWA Resort in Laconia, New Hampshire – has paid a total of $64,449 in back wages to 64 employees and $60,550 in civil money penalties to resolve violations of the H-2B non-immigrant visa program.

WHD investigators found that the resort failed to comply with several requirements of the H-2B visa program, which permits employers to hire temporarily non-immigrant foreign workers to perform nonagricultural labor or services in the U.S. for a limited time.

The NASWA Resort failed to offer the same terms and working conditions to U.S. job applicants that it provided to H-2B employees during 2016 and 2017. In its job advertisement, the NASWA Resort stated that employees would be required to pay for housing and a security deposit, but did not require H-2B employees to pay the security deposit and did not require all H-2B employees to pay for housing. The advertisement offered 35 weekly hours, significantly less than the 2016 and 2017 actual weekly averages of 48 and 45, respectively. It also failed to include the availability of a higher rate of pay in the job advertisement.

Additional violations included:

  • Placing H-2B employees in job classifications outside of those included on the employer’s approved applications, and paying workers in those categories less than the required wages;
  • Requiring the foreign employees to pay their own visa fees;
  • Using a recruiter who charged 44 of the foreign employees registration and processing fees;
  • Failing to provide the required job information to all foreign employees when required;
  • Failing to reimburse employees the required amount for travel to the resort and back to their home countries;
  • Overcharging foreign employees for housing; and
  • Failing to display the H-2B notice of employees’ rights poster.

“The Wage and Hour Division will always ensure that employers who use this program follow all of its requirements. Our work in this area safeguards American jobs, levels the playing field for law-abiding employers, and protects vulnerable workers from being paid less than they are legally owed,” said Daniel Cronin, the Wage and Hour Division’s Northern New England District Director.

WHD’s Northern New England District Office conducted the investigation. The Department’s Regional Office of the Solicitor in Boston negotiated the settlement for WHD.

WHD is distributing back wage payments to many employees who worked during the 2016 and 2017 seasons. Employees may contact the District Office at 603-666-7716 to determine whether they are due back wages and to make payment arrangements, which will require identity verification.

“The U.S. Department of Labor will continue to hold employers accountable when they employ workers outside of the approved job classifications and fail to pay the required wage rates,” said Mark Pedulla, Counsel for Wage and Hour Programs in the office of the Regional Solicitor of Labor in Boston.

For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the Division's 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 www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by 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
December 18, 2019
Release Number
19-1419-BOS
Media Contact: Ted Fitzgerald
Media Contact: James C. Lally
Phone Number
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U.S. Department of Labor Recovers Nearly $200,000 for Mail Haulers After Investigation Finds Company Violated Federal Labor Laws

News Release

U.S. Department of Labor Recovers Nearly $200,000 for Mail Haulers After Investigation Finds Company Violated Federal Labor Laws

ORANGE, CA – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), C&W Trucking Inc. – a contractor for the U.S. Postal Service (USPS) based in Orange, California – will pay $199,010 to 56 employees for violations of federal contract requirements of the McNamara-O'Hara Service Contract Act (SCA) and the Fair Labor Standards Act (FLSA).

WHD investigators determined that C&W Trucking Inc. owed employees $199,010 in unpaid prevailing wages and required health and welfare benefits. Investigators found the contractor, which hauls mail under a USPS contract, failed to pay drivers for time they spent working before and after their shifts, performing tasks such as vehicle inspections, driving to and from the post office and fueling company vehicles. The employer also violated FLSA's recordkeeping requirements by failing to record accurately the time employees actually worked.

Investigators found the employer also failed to pay employees required fringe benefits after incorrectly classifying and paying several drivers as independent contractors.

"No contractor should gain an economic advantage by paying employees below the wages and fringe benefits required when doing business with the federal government," said Wage and Hour Division District Director Rodolfo Cortez, in San Diego, California. "We urge contractors to call the U.S. Department of Labor for assistance, and to use the tools we provide to help them comply with the law."

The SCA requires contractors and subcontractors performing services on prime contracts in excess of $2,500 to pay service employees in various classes no less than the wage rates and fringe benefits found prevailing in the locality, or the rates, including prospective increases, contained in a predecessor contractor's collective bargaining agreement.

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 SCA, and other laws enforced by the Wage and Hour Division, contact the Division's toll-free helpline at 866-4US-WAGE (487-9243).  Information is also available at www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by 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
December 16, 2019
Release Number
19-2052-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali
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