U.S. Department of Labor Investigation Results in South Carolina Retailer Paying $66,410 in Back Wages and Damages for Wage Violations

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U.S. Department of Labor Investigation Results in South Carolina Retailer Paying $66,410 in Back Wages and Damages for Wage Violations

COLUMBIA, SC After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Planet Vapor Inc. – an enterprise with five retail stores and a combined laboratory warehouse operating in Columbia, Lexington, West Columbia, and Irmo, South Carolina – has paid $66,410 in back wages and liquidated damages to 20 employees for violating the minimum wage, overtime and recordkeeping requirements of the Fair Labor Standards Act (FLSA).

WHD investigated Planet Vapor Inc. – operating as Planet Vapor – and found the employer paid some store managers a flat weekly salary that, when divided by the number of hours they worked, failed to cover those hours at the federal minimum wage of $7.25 per hour. The retailer also inaccurately classified managers and lab employees as exempt from the overtime requirements of the FLSA when none met the requirements for exemption and paid them straight-time for all the hours that they worked. This practice resulted in overtime violations when employees worked more than 40 hours per week without overtime payment. Investigators also determined the employer failed to include commissions and bonuses in some employees’ regular rates of pay when calculating their overtime rates. This exclusion resulted in the employer paying overtime rates lower than those required by law. The employer also violated the recordkeeping requirements of the FLSA when it failed to maintain accurate time and payroll records.

The U.S. Department of Labor remains committed to ensuring employees receive all the wages they have rightfully earned,” said Wage and Hour District Director Jamie Benefiel in Columbia, South Carolina. “Employers must be aware of their responsibilities under the law, make sure to calculate their employees’ pay correctly and apply any overtime exemptions accurately. We encourage employers to call us any time to speak directly with one of our trained professionals if they have questions, or to use the many tools we offer online to help them comply with the law, pay workers legally and avoid violations.” 

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 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 31, 2019
Release Number
19-2096-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number
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U.S. Department of Labor Investigation Results in Pennsylvania Landscaping Company Paying $74,290 in Back Wages and Penalties For H-2B Visa Program Violations

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U.S. Department of Labor Investigation Results in Pennsylvania Landscaping Company Paying $74,290 in Back Wages and Penalties For H-2B Visa Program Violations

MOUNT PLEASANT, PA – Silvis Group Inc. – a Mount Pleasant, Pennsylvania, landscaping company – has entered consent findings with the U.S. Department of Labor requiring payment of $74,290 in back wages and penalties for violating the labor provisions of the H-2B temporary visa program.

An investigation by the Department's Wage and Hour Division (WHD) determined - that from January 17, 2015, to January 7, 2017 - Silvis Group Inc. violated requirements of the H-2B visa program by:

  • Denying employment for landscaping and grounds keeping positions to two qualified U.S. applicants, resulting in $8,414 in back wages for the U.S. applicants;
  • Failing in some weeks to pay overtime at the correct rate, after illegally excluding bonus payments from the calculation, resulting in $4,457 in back wages for 30 H-2B employees from Mexico;
  • Taking impermissible deductions for uniforms and housing in poor condition, resulting in $16,350 in back wages for 30 H-2B employees from Mexico;
  • Failing to cooperate with and actively working to hinder the WHD investigation;
  • Misrepresenting dates of temporary need and the number of employees needed on its Petition for a Nonimmigrant Worker and Foreign Labor Certification forms; and
  • Failing to meet the requirement to contractually forbid third parties from seeking payment from employees.

Silvis Group Inc. has paid a civil money penalty of $45,068 for substantial and willful failure to comply with H-2B provisions.

"The H-2B visa program includes specific requirements employers must follow to participate. When employers fail to comply with these requirements, we will hold them accountable," said Wage and Hour District Director John DuMont, in Pittsburgh, Pennsylvania.

"This case highlights the U.S. Department of Labor's efforts to ensure that employers understand and abide by the provisions of the program to safeguard American employees against displacement while protecting foreign workers from being paid less than the wage they were promised," said Regional Philadelphia Solicitor Oscar L. Hampton III.

In addition to paying the back wages and penalty, Silvis Group Inc. agrees to future compliance with the H-2B provisions, and three years of monitoring with an independent third party auditor.

Before the U.S. Citizenship and Immigration Services can approve an employer's petition for H-2B visa workers, an employer must file an application with the Department stating that there are not sufficient U.S. employees who are able, willing, qualified, and available. The application must also affirm that the employment of non-immigrant, temporary workers will not adversely affect the wages and working conditions of similarly employed persons in the U.S.

For more information about the H-2B temporary visa program, FLSA, and other laws enforced by the WHD, contact the toll-free helpline at 866-4US-WAGE (487-9243). 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
December 31, 2019
Release Number
19-1194-PHI
Media Contact: Leni Fortson
Media Contact: Joanna Hawkins
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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

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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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