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

News Release

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

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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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Hawaii Maritime Repair Company to Pay $239,380 Due to 47 Employees After U.S. Department of Labor Finds Davis-Bacon Act Violations

News Release

Hawaii Maritime Repair Company to Pay $239,380 Due to 47 Employees After U.S. Department of Labor Finds Davis-Bacon Act Violations

HONOLULU, HI – A Honolulu, Hawaii, maritime repair company will pay $239,380 to 47 employees after a U.S. Department of Labor Wage and Hour Division (WHD) investigation found the employer failed to pay the prevailing wages required for work performed on a government-funded contract at Joint Base Pearl Harbor-Hickam.

WHD investigators found Pacific Shipyards International LLC erroneously classified workers as laborers while they performed the duties of more highly skilled and higher paid positions such as boilermakers and painters. As a result, the employer failed to pay employees the correct prevailing wage rates for those job classifications as required under the Davis-Bacon Act (DBA).

"Employers must pay the required prevailing wage rates and fringe benefits stipulated in the government contract for the trade work performed at a federally funded job site," said Wage and Hour Division District Director Terence Trotter, in Honolulu, Hawaii. "We urge all employers to use the tools we offer to help them avoid violations and understand their responsibilities."

Working under a DBA-covered contract, Pacific Shipyards International made repairs on a caisson at Joint Base Pearl Harbor-Hickam on Oahu, Hawaii. A caisson is a large watertight chamber used to enclose a ship during vessel repairs.

WHD provides employers with compliance assistance resources related to the Davis-Bacon Act and the Davis-Bacon and Related Acts. For more information about federal regulations on government contracts 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
September 20, 2019
Release Number
19-1458-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali
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Tennessee Management Company Pays $45,378 for Overtime Violations Found by U.S. Department of Labor in Florida, Georgia and North Carolina

News Release

Tennessee Management Company Pays $45,378 for Overtime Violations Found by U.S. Department of Labor in Florida, Georgia and North Carolina

NASHVILLE, TN – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Accelerated Learning Solutions Inc. – a school management company based in Nashville, Tennessee – has paid $45,378 in back wages to 59 employees for violating the overtime provisions of the Fair Labor Standards Act (FLSA).

WHD determined Accelerated Learning Solutions Inc. – operating as ALS Education - classified data specialists, executive assistants, enrollment specialists, and enrollment administrative specialists incorrectly as exempt from the FLSA's overtime requirements, paying them flat weekly salaries without regard to the number of hours that they actually worked. This practice resulted in violations of the FLSA when those employees worked more than 40 hours in a workweek but the employer did not pay employees overtime in addition to those salaries. WHD also found ALS Education violated recordkeeping requirements when they failed to record accurately the number of hours employees worked.

"The Wage and Hour Division is committed to ensuring that all employees receive the wages they have legally earned for all the hours they have worked," said Wage and Hour District Director Nettie Lewis, in Nashville. The outcome of this investigation serves as a reminder to all employers to review their pay practices to confirm that workers are being paid as the law prescribes, and that we will continue to work to level the playing field for employers who play by the rules."

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
September 12, 2019
Release Number
19-1539-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino
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U.S. Department of Labor Investigation Results in Michigan Health Care Providers Paying $400,000 in Back Wages to 476 Employees

News Release

U.S. Department of Labor Investigation Results in Michigan Health Care Providers Paying $400,000 in Back Wages to 476 Employees

DETROIT, MI – Two Detroit area residential care facilities operated by Beaumont Health will pay $400,007 in back wages to 476 employees after investigations by the U.S. Department of Labor's Wage and Hour Division (WHD) found the employer violated the Fair Labor Standards Act's (FLSA) overtime and recordkeeping provisions. Investigators determined 283 employees at Beaumont Commons in Dearborn, Michigan, are due $250,659 in back wages, and 193 employees at Botsford Commons in Farmington Hills, Michigan, are due $149,348.

Investigators found Beaumont Health automatically deducted time for meal breaks from employees' recorded work time even when employees were unable to take those breaks. When breaks were not taken, these automatic deductions resulted in unpaid work hours and in overtime violations when employees worked more than 40 hours in a workweek. The employer's failure to record accurately the number of hours employees worked resulted in recordkeeping violations under the FLSA. Beaumont cooperated with WHD during the course of the investigation, and made necessary corrections enterprise-wide to ensure they pay employees for all hours worked, as the FLSA requires.

"Employers are responsible for ensuring that they pay all employees the wages they have legally earned, and for keeping accurate records of the number of hours they work," said Wage and Hour District Director Timolin Mitchell, in Detroit, Michigan. "We encourage employers to contact us for guidance, and to use the wide variety of tools we offer to help them fully understand their responsibilities. Violations like those found in this case can be avoided."

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 12, 2019
Release Number
19-1385-CHI
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number
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U.S. Department of Labor Files Contempt Petition Against Massachusetts Companies Ordered to Pay $2.4 Million in Back Wages, Damages

News Release

U.S. Department of Labor Files Contempt Petition Against Massachusetts Companies Ordered to Pay $2.4 Million in Back Wages, Damages

BOSTON, MA – The U.S. Department of Labor has asked the U.S. District Court for the District of Massachusetts to hold two Massachusetts construction companies and two of their officers in civil contempt for not fulfilling the terms of an August 2016 consent judgment and order that requires them to pay $2,359,685 in back wages and liquidated damages to 478 employees.

The 2016 consent judgment and order obliges Force Corp., AB Construction Group Inc. and employers Juliano Fernandes and Anderson dos Santos to make quarterly payments to resolve violations of the Fair Labor Standards Act (FLSA) resulting, in part, from their misclassifying the bulk of their employees as independent contractors to avoid paying them overtime wages.

The defendants have paid only $477,900. They currently owe a total of $1,754,129, plus interest, to the affected employees.

The Department's petition asks the court to find the defendants in civil contempt and order them to pay the overdue wages of $1,179,842.55, plus interest. Should the defendants refuse or fail to do so, the Department requests sanctions against them, including imprisonment and daily fines.

"The U.S. Department of Labor will use all available legal tools to ensure that employers comply with their obligations under the Fair Labor Standards Act," said Solicitor of Labor Kate S. O'Scannlain.

"These employers conceded that they unlawfully kept the wages of 478 employees, and committed themselves to paying those employees under a consent judgment and order of the court. In violation of that order, the employers have unlawfully kept $1,179,842.55 of their employees' hard-earned wages. After numerous attempts to resolve the employers' continued failure to comply with the court order, the U.S. Department of Labor now asks the court to hold the defendants in contempt and impose all sanctions required, including imprisonment if necessary, to ensure compliance with the court's original order," said Regional Solicitor of Labor for New England Maia Fisher in Boston.

"The defendants' ongoing failure to pay their employees their hard-earned wages shortchanges workers who have waited a long time to be paid, and places law-abiding employers at a competitive disadvantage," said Wage and Hour Division Administrator Cheryl Stanton.

"The U.S. Department of Labor is committed to ensuring employees receive all the wages they have rightfully earned and employers compete on a level playing field," said Wage and Hour Division District Director Carlos Matos in Boston.

WHD's Boston District Office conducted the original investigation. The Department's Boston Regional Office of the Solicitor is litigating the case for the Department.

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, online toolkits, 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.

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.

# # #

Pizzella v. Force Corporation, AB Construction Group Inc., Juliano Fernandes, and Anderson dos Santos
Civil Action Number: 16-cv-40103-TSH

Agency
Wage and Hour Division
Date
September 12, 2019
Release Number
19-1544-BOS
Media Contact: Ted Fitzgerald
Media Contact: James C. Lally
Phone Number
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U.S. Department of Labor Investigation Finds Pennsylvania Restaurant Violated Federal Wage Laws

News Release

U.S. Department of Labor Investigation Finds Pennsylvania Restaurant Violated Federal Wage Laws

OAKDALE, PA – Burke Inc. – doing business as Pepperoncini's Pub in Oakdale, Pennsylvania – has paid $12,034 in back wages, and an equal amount in liquidated damages to four employees after a U.S. Department of Labor Wage and Hour Division (WHD) investigation found the employer violated the overtime and recordkeeping requirements of the Fair Labor Standards Act (FLSA).

WHD found that from May 2017 to May 2019, Pepperoncini's Pub paid one kitchen manager and three assistant kitchen managers, straight-time hourly rates regardless of the number of hours that they worked, failing to pay them overtime when they worked more than 40 hours in a workweek. The FLSA requires hourly employees to receive time-and-one-half their regular rates of pay for overtime hours. The employer also violated FLSA recordkeeping requirements by failing to keep required records of employee tips.

"Other employers should use this investigation as an opportunity to review their own pay practices to ensure they comply with the law," said Wage and Hour Division District Director John DuMont, in Pittsburgh, Pennsylvania. "The U.S. Department of Labor will continue its work to level the playing field so that employers that follow the rules don't find themselves at an economic disadvantage to those who do not. We encourage all employers to reach out to us for guidance and to use the wide variety of tools we provide to help them comply with the law and avoid violations like those found in this case."

"We see too many cases, like this one, involving restaurants that do not pay their back of the house employees proper overtime and that do not follow the tip credit rules," said Philadelphia Regional Counsel Adam Welsh. "It is important for all employers in the restaurant industry, large and small, to take steps to ensure their employees receive the wages they are entitled to 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, 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/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 12, 2019
Release Number
19-1399-PHI
Media Contact: Leni Fortson
Media Contact: Joanna Hawkins
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U.S. Department of Labor Investigation Results in Auto Parts Manufacturer Reinstating, Paying Employee for Family and Medical Leave Act Violations

News Release

U.S. Department of Labor Investigation Results in Auto Parts Manufacturer Reinstating, Paying Employee for Family and Medical Leave Act Violations

ROME, GA – After a U.S. Department of Labor's Wage and Hour Division (WHD) investigation, Neaton Rome Inc. – an automobile parts manufacturer based in Rome, Georgia – has reinstated and paid an employee $13,133 in lost wages as WHD found the employer terminated the employee in violation of the Family and Medical Leave Act (FMLA).

A WHD investigator found that the employer failed to provide the employee with required notification about whether her absence would qualify for leave after she requested time off for an FMLA-qualifying health condition and provided supporting documentation. After erroneously failing to designate the leave as FMLA-protected, Neaton Rome terminated the employee wrongfully after they assessed disciplinary attendance points for missed work.

Neaton Rome Inc. will reinstate the employee, pay her lost wages, and reinstate her health benefits dating back to the day they terminated her employment. In addition, the employer will grant 160 hours of vacation time that she would have earned on the date of her anniversary with the company, increase the employee's hourly wage to reflect a raise she would have received on the anniversary, and remove disciplinary attendance points they erroneously assessed due to her FMLA-covered absence from work.

"Many Americans rely on the Family and Medical Leave Act for critically needed workplace flexibility precisely when they need it the most," said Wage and Hour Division District Director Eric Williams, in Atlanta, Georgia. "The U.S. Department of Labor is committed to ensuring that employees' rights under the FMLA are protected. We encourage employers to review the numerous tools and resources we provide to help them understand their rights and obligations under this law."

For more information about the FMLA and other laws enforced by the Wage and Hour Division, contact the toll-free helpline at 866-4US-WAGE (487-9243). 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 12, 2019
Release Number
19-1549-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino
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U.S. Department of Labor Investigation Results in New York Gas Station Paying $262,151 in Back Wages, Damages and Penalties

News Release

U.S. Department of Labor Investigation Results in New York Gas Station Paying $262,151 in Back Wages, Damages and Penalties

NEW YORK, NY – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), E-Z Station Inc. - operator of a Mobil gas station in Long Island City, New York - has paid seven employees $129,722 in back wages and an equal amount in liquidated damages to resolve violations of the Fair Labor Standards Act (FLSA). The employer also paid $2,706 in penalties.

WHD investigators found that the employer violated the FLSA's overtime requirements when it paid seven employees straight-time rates when they worked more than 40 hours in a workweek, and failed to pay them for the overtime hours at time-and-one-half their regular rates, as the law requires. The employer also violated minimum wage requirements when it paid one employee – a gas attendant who worked between 70 and 84 hours per week – $6.00 per hour, less than the $7.25 per hour federal minimum wage the FLSA requires.

Recordkeeping violations included failing to keep complete and accurate payroll and time records such as time sheets and records of cash payments. WHD also found the employer interfered with the investigation by instructing employees to mislead and provide false information to investigators.

"Employers must pay their employees for all the hours they work – including legally required minimum wage and overtime rates and maintain complete and accurate records. Failure to do so short-changes their employees and puts employers that play by the rules at a competitive disadvantage," said Wage and Hour Division Assistant District Director Jorge Alvarez in New York City. "Other employers should take the resolution of this case as an opportunity to evaluate their own pay practices, ensure they are in compliance, and understand that instructing employees to lie to the U.S. Department of Labor will not be tolerated."

The Department of Labor 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 its 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.

WHD provides employers with compliance assistance resources related to the H-1B visa program. For more information about this visa program 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
September 10, 2019
Release Number
19-1440-NEW
Media Contact: Ted Fitzgerald
Media Contact: James C. Lally
Phone Number
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