U.S. Department of Labor’s Payroll Audit Independent Determination Program Finds More Than $4 Million in Back Wages for 7,429 Employees

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U.S. Department of Labor’s Payroll Audit Independent Determination Program Finds More Than $4 Million in Back Wages for 7,429 Employees

WASHINGTON, D.C. – The U.S. Department of Labor's Payroll Audit Independent Determination (PAID) program has put more than $4 million in back wages into the hands of 7,429 employees since the program began last year. The Department's Wage and Hour Division (WHD), which administers this program, submitted a report today to the Senate Committee on Appropriations outlining PAID's performance to-date.

That report confirms the program's efficiencies – the actions take half the time of other compliance actions but yield ten times the back wages for employees. Since its launch in April 2018, self-audits concluded through PAID collected an average of more than four times what WHD found due for employees in a traditional investigation during that same time period. Actions concluded under this program required less than half the staffing resources of traditional WHD investigations, and found more than ten times the amount of back wages per staff hour invested.

"WHD launched the PAID program as a nationwide pilot with confidence that well-intentioned job creators would use it to do the right thing, get wages into the hands of their employees more quickly, and move forward in compliance," said Wage and Hour Division Administrator, Cheryl Stanton. "That is exactly what has happened. The efficiencies created by this program enable WHD to recover more wages for American workers by focusing on violators. PAID is a win for employees, employers and taxpayers."

The PAID program encourages employers to conduct audits and self-report any overtime or minimum wage violations they discover. WHD does not impose penalties or liquidated damages to finalize settlements for employers who choose to participate in the program, as they proactively work with WHD to resolve their compensation errors, and move quickly to provide 100 percent of the back wages due to their affected employees.

The report presents key findings from an analysis of qualitative and quantitative data collected during the implementation of the PAID program, starting April 1, 2018, through September 15, 2019, and suggests that self-audits have allowed WHD to increase back wages delivered to employees with minimal impact on existing priorities and resources . To that end, the agency is working to further the use of the tool in its operations, consistent with its goals, priorities, and data-driven practices. Testimonials from employees and employers benefitting from PAID continue to indicate that the results are overwhelmingly positive.

The PAID program does not limit WHD's ability to enforce federal laws, including the FLSA, the Family and Medical Leave Act, the Migrant and Seasonal Agricultural Worker Protection Act, labor provisions of several temporary visa programs, or the prevailing wage requirements of the Davis-Bacon and Related Acts and the McNamara-O'Hara Service Contract Act.

For more information about the PAID program, the FLSA, and other laws enforced by WHD, contact the Division's toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at https://www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by the Division.

Agency
Wage and Hour Division
Date
September 26, 2019
Release Number
19-1706-NAT
Media Contact: Edwin Nieves
Phone Number
Media Contact: Grant Vaught
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U.S. Department of Labor Investigation Results in Federal Contractor Paying $178,784 in Back Wages to Employees at Georgia Work Site

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U.S. Department of Labor Investigation Results in Federal Contractor Paying $178,784 in Back Wages to Employees at Georgia Work Site

WARNER ROBINS, GA – An investigation by the U.S. Department of Labor's Wage and Hour Division (WHD) has led Red Cedar Enterprises Inc. to pay $178,784 in back wages and fringe benefits to eight employees after the employer violated provisions of the McNamara-O'Hara Service Contract Act (SCA), at a Robins Air Force Base work site in Warner Robins, Georgia.

WHD investigators determined the Miami, Oklahoma-based technical support services company incorrectly classified employees performing technical writer duties as production control clerks and other lower-paid job titles. These erroneous classifications resulted in the employer paying these employees at rates lower than those required by law for the work actually performed. WHD also found that Red Cedar Enterprises failed to pay the required fringe benefit rates to some employees after a contract amendment.

"Contractors that bid on government contracts must be aware of and adhere to all applicable laws when paying their employees," said Wage and Hour Division District Director Eric Williams, in Atlanta, Georgia. "We provide a number of tools to help employers understand and comply with the labor requirements on government contracts. Our education and enforcement work in this area levels the playing field for all contractors who perform work for the government."

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.

For more information about the SCA and other laws enforced by the Wage and Hour Division, contact the toll-free helpline at 866-4US-WAGE (487-9243). Employers who discover FLSA 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
September 26, 2019
Release Number
19-1580-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino
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U.S. Department of Labor Initiative Finds Minneapolis ‘Eat Street’ Restaurants Owe $367,359 in Back Wages and Damages to 162 Employees

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U.S. Department of Labor Initiative Finds Minneapolis ‘Eat Street’ Restaurants Owe $367,359 in Back Wages and Damages to 162 Employees

MINNEAPOLIS, MN – The U.S. Department of Labor's Wage and Hour Division (WHD) found violations of the Fair Labor Standards Act's (FLSA) overtime, minimum wage and record-keeping requirements at 15 restaurants in Minneapolis' "Eat Street" district during an education and enforcement initiative. The effort will recover $367,359 in back wages and liquidated damages for 162 employees.

Investigators found minimum wage and overtime violations at establishments including: Rainbow Chinese Restaurant & Bar; Black Sheep Pizza; Salsa a La Salsa (Global Market); Salsa a La Salsa (Nicollet Avenue); Marissa's Supermarket & Bakery; El Nuevo Mariachi; Eat Street Social; Los Maizales and Pancho Villa Minneapolis.

WHD conducted the initiative to educate employers, address common FLSA violations, and improve compliance with federal wage laws in the grocery and restaurant industries in the Midwest.

"Initiatives like this one help us collaborate with an industry, determine the root causes of wage violations, and provide compliance assistance that educates employers and helps protect employees," said Wage and Hour District Director David King, in Minneapolis, Minnesota. "The U.S. Department of Labor is committed to ensuring that workers take home the pay they have rightfully earned, and to providing a level playing field for employers who play by the rules. "We balance rigorous enforcement with robust education and outreach in an effort to help employers avoid violations like those found in these investigations."

In 2018, WHD's education and enforcement initiative included outreach at more than 30 educational events for the Minneapolis' restaurant industry, as well as outreach to industry associations, one-on-one consultations with employers, seminars for small business owners, training for payroll associations and collaboration with worker task forces.

Investigations commonly find violations such as:

  • Paying employees fixed salaries without regard to the number of hours they actually worked, resulting in violations when they worked more than 40 hours in a work week yet were not paid overtime;
  • Paying for overtime hours at straight time rates, in cash;
  • Failing to pay for overtime hours worked in one week, and instead paying them out in shorter, subsequent workweeks at straight time;
  • Shaving hours from employees' time and illegally rounding partial hours;
  • Failing to count short work breaks as work time; and
  • Failing to maintain required time and payroll records.

For more information about the FLSA, and other laws enforced by WHD, 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 https://www.dol.gov/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
September 25, 2019
Release Number
19-1460-CHI
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number
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U.S. Department of Labor Fines New Orleans Restaurant For Violating Child Labor Laws After Minor Suffers Oil Burns

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U.S. Department of Labor Fines New Orleans Restaurant For Violating Child Labor Laws After Minor Suffers Oil Burns

NEW ORLEANS, LA – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Jacques-Imo Café – a restaurant based in New Orleans, Louisiana – has paid $55,288 in civil money penalties for violating multiple child labor provisions of the Fair Labor Standards Act (FLSA).

WHD investigators found the restaurant violated child labor provisions by employing a 13-year-old, which is below the minimum employment age of 14 years. This minor suffered third-degree burns over more than a third of his body when he tripped and fell as he carried hot oil which he emptied from the kitchen's deep fryer. The FLSA prohibits minor employees from cleaning fryers when the oil temperature exceeds 100 degrees. The investigation also found that this minor, along with a 15-year-old employee, worked beyond the hours permitted for employees less than 16 years old. These minors worked past the evening hour limit of 7:00 p.m. during the school year, or 9:00 p.m. from June 1 through Labor Day, when they worked as late as 1:00 a.m. The minors also worked more than 40 hours per week, more than 8 hours on a non-school day, more than 3 hours on a day when school is in session, all in violation of the law.

"The child labor provisions of the FLSA ensure minors gain a positive work experience that does not hinder their education and well-being," said Wage and Hour Division District Director Troy Mouton in New Orleans, Louisiana. "Companies can avoid child labor violations, penalties, and injuries by understanding and abiding by the FLSA's child labor provisions. We encourage employers to reach out to us with any questions and to take advantage of the many tools available to them to help them comply with the law."

Children under 14 who are covered by the FLSA may not be employed in non-agricultural occupations. Youth under 18 are prohibited from operating, setting up, adjusting, repairing, oiling, or cleaning machines deemed hazardous by the Secretary of Labor. Youth ages 14 and 15 may be employed outside school hours in a variety of non-manufacturing and non-hazardous jobs for limited periods of time and under specified conditions.

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, and in-person visits to local WHD staff.

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/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
September 24, 2019
Release Number
19-1436-DAL
Media Contact: Chauntra Rideaux
Media Contact: Juan Rodriguez
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U.S. Department of Labor Issues Final Overtime Rule

News Release

U.S. Department of Labor Issues Final Overtime Rule

WASHINGTON, DC – Today the U.S. Department of Labor announced a final rule to make 1.3 million American workers eligible for overtime pay under the Fair Labor Standards Act (FLSA).

"For the first time in over 15 years, America's workers will have an update to overtime regulations that will put overtime pay into the pockets of more than a million working Americans," Acting U.S. Secretary of Labor Patrick Pizzella said. "This rule brings a commonsense approach that offers consistency and certainty for employers as well as clarity and prosperity for American workers."

"Today's rule is a thoughtful product informed by public comment, listening sessions, and long-standing calculations," Wage and Hour Division Administrator Cheryl Stanton remarked. "The Wage and Hour Division now turns to help employers comply and ensure that workers will be receiving their overtime pay."

The final rule updates the earnings thresholds necessary to exempt executive, administrative, or professional employees from the FLSA's minimum wage and overtime pay requirements, and allows employers to count a portion of certain bonuses (and commissions) towards meeting the salary level. The new thresholds account for growth in employee earnings since the currently enforced thresholds were set in 2004. In the final rule, the Department is:

  • raising the "standard salary level" from the currently enforced level of $455 to $684 per week (equivalent to $35,568 per year for a full-year worker);
  • raising the total annual compensation level for "highly compensated employees (HCE)" from the currently-enforced level of $100,000 to $107,432 per year;
  • allowing employers to use nondiscretionary bonuses and incentive payments (including commissions) that are paid at least annually to satisfy up to 10 percent of the standard salary level, in recognition of evolving pay practices; and
  • revising the special salary levels for workers in U.S. territories and in the motion picture industry.

The final rule will be effective on January 1, 2020.

The increases to the salary thresholds are long overdue in light of wage and salary growth since 2004. Nearly every person who commented on the Department's 2017 Request for Information, participated at listening sessions in 2018 regarding the regulations, or commented on the Notice of Proposed Rulemaking agreed that the thresholds needed to be updated for this reason.

The Department estimates that 1.2 million additional workers will be entitled to minimum wage and overtime pay as a result of the increase to the standard salary level. The Department also estimates that an additional 101,800 workers will be entitled to overtime pay as a result of the increase to the HCE compensation level.

A 2016 final rule to change the overtime thresholds was enjoined by the U.S. District Court for the Eastern District of Texas on November 22, 2016, and was subsequently invalidated by that court. As of November 6, 2017, the U.S. Court of Appeals for the Fifth Circuit has held the appeal in abeyance pending further rulemaking regarding a revised salary threshold. As the 2016 final rule was invalidated, the Department has consistently enforced the 2004 level throughout the last 15 years.

More information about the final rule is available at https://www.dol.gov/whd/overtime2019/.

The Wage and Hour Division's (WHD) 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
September 24, 2019
Release Number
19-1715-NAT
Media Contact: Emily Weeks
Phone Number
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Texas Construction Company Pays Back Wages to Misclassified Employees After U.S. Department of Labor Investigation Finds Violations

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Texas Construction Company Pays Back Wages to Misclassified Employees After U.S. Department of Labor Investigation Finds Violations

SPRING, TX – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Aztec Construction Inc. – doing business as RSP Aztec Construction Inc. in Spring, Texas – has paid $25,380 in back wages to five employees for violating the Fair Labor Standards Act's (FLSA) overtime requirements.

WHD investigators found the employer classified its employees improperly as independent contractors, leading to overtime violations when the employer paid straight-time rates after employees worked more than 40 hours in a week. The law requires the employer pay time-and-one-half an employee's regular rate of pay for hours the employees work over 40 in a workweek. Aztec Construction also failed to keep required time and payroll records, violating federal recordkeeping provisions.

"Improperly categorizing employees as independent contractors can lead to costly overtime violations that simultaneously short employees and create unfair competition for employers who obey the law," said Wage and Hour Division District Director Robin Mallett in Houston, Texas. "We encourage all employers to review our information online or come to our office for assistance in understanding their obligations under the 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, electronic toolkits, 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/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 U.S.; improve working conditions; advance opportunities for profitable employment; and assure work-related benefits and rights.

Agency
Wage and Hour Division
Date
September 23, 2019
Release Number
19-1569-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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U.S. Department of Labor Investigation Results in Georgia Contractor Paying $58,838 Penalty for Child Labor Violation

News Release

U.S. Department of Labor Investigation Results in Georgia Contractor Paying $58,838 Penalty for Child Labor Violation

OCHLOCKNEE, GA – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Rite-A-Way Mowers LLC – a Buena Vista, Georgia-based mowing contractor – has paid a civil penalty of $58,383 violating federal child labor laws when it employed a 15-year-old to operate a power-driven weed cutter. The minor drowned while clearing brush along Georgia's Ochlockonee River.

WHD's investigation found the employer violated the Fair Labor Standards Act's (FLSA) child labor requirements when it employed the teen to operate equipment prohibited for use by workers less than 16-years-old. Regulations specifically prohibit employers from employing 14- and 15-year olds in occupations that involve operating any power-driven machinery, including weed-cutters. Investigators also determined that Rite-A-Way Mowers employed the minor to work outside of the restricted hours allowed for 14- and 15-year-old workers, and for more hours than allowed by law when school is in session. At the time of the incident, school was in session in the district the minor would have attended.

"This case offers a sobering and sad reminder of the importance of the child labor provisions of the Fair Labor Standards Act, and why the safety of young workers remains a priority for the U.S. Department of Labor's Wage and Hour Division," said Wage and Hour Division District Director Eric Williams, in Atlanta, Georgia. "Employers must fully understand their obligations to ensure minors work in a safe environment. We encourage those companies that employ minors to review child labor laws, and to contact us for further assistance. This tragic death underscores why compliance is not optional."

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, child labor, 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.

Read this news release En Español

Agency
Wage and Hour Division
Date
September 20, 2019
Release Number
19-1647-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number
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South Carolina Security Contractor Pays $40,077 in Wages After U.S. Department of Labor Finds Federal Contract Wage and Benefit Violations

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South Carolina Security Contractor Pays $40,077 in Wages After U.S. Department of Labor Finds Federal Contract Wage and Benefit Violations

COLUMBIA, SC – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Grids Security Services LLC – based in Columbia, South Carolina – has paid $40,077 in back wages to nine employees, for violating requirements of the Fair Labor Standards Act (FLSA), the Contract Work Hours and Safety Standards Act (CWHSSA) and the McNamara-O'Hara Service Contract Act (SCA).

WHD determined that the security guard services contractor violated SCA provisions by failing to pay required vacation, holiday, and health and welfare benefits to employees performing work on a federal contract to provide services to the Federal Emergency Management Agency. Grids Security Services also violated the CWHSSA by paying employees straight-time rates for overtime hours they worked on the contract at joint field office and disaster relief centers operated in Columbia, South Carolina.

Investigators also found the employer violated the FLSA when they failed to total the number of hours employees worked on federal and other contracts each workweek. By doing so, Grids Security paid workers separately for their work on each contract at straight time and failed to pay overtime to employees who worked a total of more than 40 hours. The employer also paid a flat rate to employees who made trips to an ATM on behalf of the company, without regard to the number of hours they worked making those trips, and failed to record that time as work time. Grids Security Services also violated FLSA recordkeeping requirements by failing to keep accurate time and pay records and failing to display the required FLSA poster at its establishment.

"Government contractors must familiarize themselves with all employee pay and benefits requirements, which typically go beyond prevailing hourly wages," said Wage and Hour Division District Director Jamie Benefiel, in Columbia, South Carolina. "The U.S. Department of Labor encourages employers and employees to contact us if they have questions about how workers must be paid for regular and overtime wages, and fringe benefits on federal contracts. They can also consult the numerous resources we offer online to help them understand their responsibilities."

For more information about the FLSA, SCA, CWHSSA, and other laws enforced by the 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.

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
September 20, 2019
Release Number
19-1581-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino
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U.S. Department of Labor Results in Federal Contractor Paying $350,000 In Back Wages to Settle Hiring Discrimination

News Release

U.S. Department of Labor Results in Federal Contractor Paying $350,000 In Back Wages to Settle Hiring Discrimination

SHELBYVILLE, IN – Penske Logistics LLC, a federal contractor, has agreed to pay $350,000 in back wages to 185 female applicants to settle allegations of hiring discrimination found in a U.S. Department of Labor investigation at the employer's Shelbyville, Indiana, logistics facility.

In a routine compliance evaluation, the Department's Office of Federal Contract Compliance Programs (OFCCP) found that from January 1, 2016, through October 11, 2016, Penske Logistics LLC discriminated against female applicants in the hiring process for warehouse worker positions. Penske Logistics has also agreed to extend job offers in the warehouse worker position to 99 female class members at the Shelbyville facility.

"The U.S. Department of Labor and Penkse Logistics have reached a fair settlement that provides remedies to the affected class and guarantees that, going forward, qualified applicants of both genders will have the opportunity to compete on a level field for good jobs," said Office of Federal Contract Compliance Programs Acting Midwest Regional Director Carmen Navarro in Chicago, Illinois.

Penske Logistics LLC cooperated with OFCCP's investigation and denied that the employer failed to comply with the Executive Order and its implementing regulations.

In addition to Executive Order 11246, OFCCP enforces Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans' Readjustment Assistance Act of 1974. These legal authorities, as amended, make it illegal for contractors and subcontractors doing business with the federal government to discriminate in employment because of race, color, religion, sex, sexual orientation, gender identity, national origin, disability, or status as a protected veteran. In addition, contractors and subcontractors are prohibited from discriminating against applicants or employees because they have inquired about, discussed, or disclosed their compensation or the compensation of others subject to certain limitations. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit https://www.dol.gov/ofccp/.

Agency
Office of Federal Contract Compliance Programs
Date
September 20, 2019
Release Number
19-1279-CHI
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number
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U.S. Department of Labor Conducting Wage Survey Of Building Construction Projects in Missouri’s Metro Counties

News Release

U.S. Department of Labor Conducting Wage Survey Of Building Construction Projects in Missouri’s Metro Counties

ST. LOUIS, MO – The U.S. Department of Labor’s Wage and Hour Division (WHD) is conducting a building construction survey of the metropolitan counties in the state of Missouri to collect data to establish prevailing wage rates, as required under the Davis-Bacon and Related Acts. The survey covers active building construction projects in the metropolitan counties in the state of Missouri between July 1, 2018 and June 30, 2019. It is not limited to federally funded construction projects.

“Davis-Bacon prevailing wage rates should reflect the actual wages and fringe benefits paid to construction workers in the county where the work takes place” said Wage and Hour Division’s Midwest Regional Administrator Michael Lazzeri. “The U.S. Department of Labor needs the full participation of the Missouri construction industry community to set prevailing wage rates. Full participation by contractors and interested parties will allow us to provide accurate prevailing wages and to create complete wage determinations which, in turn, reduces the need for contractors to request additional classifications.” 

Notification letters and data collection forms (WD-10s) are being sent to interested parties and contractors known to the Wage and Hour Division. Data must be postmarked by April 30, 2020, to be included in the survey. To complete the survey electronically, visit www.dol.gov/whd/programs/dbra/wd10/index.htm.

You do not need a letter to answer the survey. If you would like to participate, or have questions regarding the survey process and forms, contact Alecia Upshaw at 312-596-7208.

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
September 20, 2019
Release Number
19-1607-KAN
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number
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