CRESTVIEW, FL – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Lockheed Martin Corp. has paid $327,271 in back wages and liquidated damages to 20 employees for violating provisions of the Fair Labor Standards Act (FLSA) and the McNamara-O'Hara Service Contract Act (SCA) at a Crestview, Florida, work site.

WHD investigators determined the company erroneously classified some employees as exempt from FLSA overtime requirements, and paid them flat weekly salaries without regard to the number of hours they actually worked. This practice resulted in overtime violations when those employees worked more than 40 hours in a workweek but the employer did not pay them overtime in addition to those salaries. The employer also violated the recordkeeping provision of the FLSA when it failed to keep accurate records of the number of hours worked by some employees.

WHD also found Lockheed Martin Corp. violated the requirements of the SCA when the amounts paid to those salaried workers fell below the hourly rates and fringe benefits required by law for workers on the employer's contract with the U.S. Department of Defense.

"Paying employees a fixed salary does not necessarily mean that they are not entitled to overtime," said Wage and Hour Division District Director Daniel White, in Jacksonville, Florida. "Employers need to understand their responsibilities and ensure their pay practices comply with the law. The Wage and Hour Division works to ensure employees receive the wages they have rightfully earned, and we encourage all employers to reach out to us and use the variety of tools we offer."

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 FLSA, 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.

NATCHEZ, MS – AJFC Community Action Inc. – a Natchez, Mississippi-based non-profit agency providing Head Start services to children – has paid $62,603 in back wages to 33 employees after a U.S. Department of Labor Wage and Hour Division (WHD) investigation identified overtime violations of the Fair Labor Standards Act (FLSA).

The WHD investigation found that AJFC Community Action Inc. failed to total the number of hours worked each week by employees working dual positions. As a result, the employer failed to pay those employees overtime when they worked a combined total of more than 40 hours in a workweek. WHD also found AJFC Community Action violated the same overtime provision at two of its other Mississippi locations, AJFC in Woodville and Fayette Head Start Center in Fayette.

"The resolution of this case should serve as an opportunity for other employers to review their pay practices to ensure that they comply with federal law, and that employees are paid what they have legally earned," said Wage and Hour District Director Audrey Hall, in Jackson, Mississippi. "The Wage and Hour Division encourages all employers and employees to make use of the valuable resources that we provide to help them understand their rights and obligations under the law."

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.

MOUNT DORA, FL - After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), AG Labor LLC – based in Plant City, Florida – has paid $16,332 in back wages and damages to 44 employees for violating requirements of the Fair Labor Standards Act (FLSA) and the H-2A visa program. The employer also paid $2,082 in civil money penalties for the H-2A violations.

WHD investigators found AG Labor LLC – owned by Julio Cruz – violated the labor provisions of the H-2A visa program by failing to meet safety and health requirements for housing guest workers. The agricultural employer also failed to satisfy program requirements when it failed to list all of the job sites where employees would perform work when it submitted its request for workers. AG Labor also failed to pay some employees required wages for compensable time they spent traveling to and from work sites.

WHD found that AG Labor LLC employees were ineligible for an agricultural exemption the employer claimed from overtime requirements, and that it consequently failed to pay employees time-and-one-half for hours they worked beyond 40 in a workweek. The investigation determined the employees working in the employer's packinghouse co-mingled produce grown by other farmers. The agricultural exemption from the FLSA's overtime requirements applies to employees involved in processing or packaging products grown only by that employer. Once employees packed goods brought in from other suppliers, the exemption did not apply, and they were due overtime.

"The Wage and Hour Division works to ensure agricultural workers receive the wages they have legally earned," said Wage and Hour Division District Director Daniel White, in Jacksonville, Florida. "We staff offices throughout the country to assist employers and to help them understand their obligations and responsibilities under federal laws. We encourage all employers to take advantage of these free resources and avoid costly penalties."

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, the H-2A visa program, 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.

ORLANDO, FL – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Flipper's Pizza T. & B. Inc. – operating 11 Central Florida Flippers Pizzeria restaurants – has paid $27,425 in back wages to 70 employees for violating the overtime provisions of the Fair Labor Standards Act (FLSA). The employer also paid $1,810 in civil money penalties for a child labor violation.

WHD investigators found the employer paid overtime-eligible assistant managers flat weekly salaries, without regard to the number of hours that they actually worked. This practice resulted in overtime violations when those employees worked more than 40 hours in a workweek but were not paid overtime in addition to those salaries. Additional overtime violations resulted when the employer calculated overtime for tipped employees incorrectly, basing those rates on servers' cash rates only. The law requires employers to pay tipped workers overtime at time-and-one-half of at least the federal minimum wage of $7.25 per hour. WHD also found the employer employed a 17-year-old minor to operate a motor vehicle to make deliveries, a violation of FLSA child labor requirements. The employer also failed to maintain accurate payroll records.

"Businesses employing minors have a special responsibility to ensure the safety of these workers by not having them perform any duties deemed hazardous," said Wage and Hour District Director Daniel White, in Jacksonville, Florida. "The Wage and Hour Division staffs local offices and provides online resources to assist employers in complying with the law. We encourage all employers to take advantage of these free compliance assistance resources, and to reach out to us with any questions."

WHD investigators found the violations at the following restaurant locations:

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.

CLINTON TWP, MI – Brickworks Property Restoration – a masonry company based in Clinton Township, Michigan – will pay $130,788 in back wages to 58 employees after 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.

WHD investigators determined Brickworks Property Restoration failed to pay employees overtime at time-and-one-half their regular rates when they worked more than 40 hours in a workweek. Investigators found employees worked an average of 55-65 hours per week and received cash at straight time rates for overtime hours. Brickworks Property Restoration also violated the recordkeeping provisions of the FLSA when they failed to maintain accurate records of payroll and hours worked.

"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 these 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.

GLENDALE, CA – A Glendale, California, software engineering company has paid $48,193 to one employee after a U.S. Department of Labor Wage and Hour Division (WHD) investigation found the employer violated labor provisions of the H-1B foreign labor certification program.  

WHD investigators found Assigncorp failed to provide work for the employee – as required by the visa program – when business slowed, and did not pay the hourly rate required in the program's Labor Certification Application (LCA) for this idle time, a violation of federal law.

"Employers that wish to hire guest workers must fully familiarize themselves with the H-1B foreign labor certification program. The program helps American companies find highly skilled talent when there is a shortage of U.S. workers," said Wage and Hour Division District Director Kimchi Bui, in Los Angeles, California. "The resolution of this case demonstrates our commitment to safeguard American jobs, level the playing field for law-abiding employers, and ensure no one is being paid less than they are legally owed."

Assigncorp provides IT consulting services to projects that involve database and web-based applications, content management, and block chain technology.

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.

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.

PHOENIX, AZ –An Administrative Law Judge in the Department of Labor ordered West Valley Ear, Nose and Throat – a medical clinic based in Phoenix, Arizona – to pay $15,000 in civil penalties after the employer violated federal law by requesting that five employees submit to polygraph tests.

Investigators with the Department's Wage and Hour Division (WHD) found that West Valley Ear, Nose and Throat - after noticing ongoing cash shortages - requested that the employees take the tests. These circumstances failed to meet the legal exemption requirements of the Employee Polygraph Protection Act (EPPA). WHD also determined the employer attempted to polygraph all five employees illegally when it failed to identify the "reasonable suspicion" it had of the alleged employee responsible for the economic loss. In addition, West Valley Ear, Nose and Throat failed to identify a reasonable suspicion for any of the five employees, another EPPA violation.

"Federal law makes it clear that most employers cannot require their employees to take lie detector tests," said Regional Solicitor Janet Herold, in Los Angeles, California. "There are many other ways to deal with problems, including suspected theft, on the job."

"The U.S. Department of Labor provides many tools to help employers comply with the law and understand how to avoid mistakes like these," said Ruben Rosalez, Wage and Hour Regional Administrator. "We encourage all employers to reach out to us at any time for assistance – we are available to answer any questions they may have."

Enacted in 1988, the EPPA generally prohibits employers from requiring or requesting any employees or job applicants to take a lie detector test, and from discharging, disciplining or discriminating against an employee or prospective employee for refusing to take a test or for exercising other rights under the act. An employer may ask an employee to take a polygraph test only when there is a reasonable suspicion that the worker was involved in misconduct that resulted in economic harm to the employer.

For more information about the EPPA 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 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.

SAN JUAN, PR – After a U.S. Department of Labor Wage and Hour Division (WHD) investigation, Xperts Inc. – a San Juan, Puerto Rico, disaster response contractor – has paid $1,341,829 in back wages to 1,853 employees to resolve violations of the McNamara-O'Hara Service Contract Act (SCA), the Contract Work Hours and Safety Standards Act (CWHSSA), and the Fair Labor Standards Act (FLSA).

WHD investigators determined that the contractor violated the SCA when it failed to pay employees the full amount of the prevailing wages, fringe benefits, and holidays required by law under its federal contract. Xperts Inc. violated the CWHSSA by failing to pay employees required overtime when they worked more than 40 hours in a workweek on the contract. The employer also violated FLSA recordkeeping requirements when it failed to keep accurate records of the number of hours employees worked. As a result, Xperts paid employees $777,379 for the SCA wage violations and $564,450 for the CWHSSA overtime violations.

"The U.S. Department of Labor continues to support ongoing efforts in Puerto Rico to recover from the aftermath of hurricanes Irma and Maria by ensuring all workers are paid fairly and in accordance with applicable federal laws," said Wage and Hour Division Caribbean District Director Jose Vazquez. "Our work continues to level the playing field so that contractors who abide by the law do not find themselves at a competitive disadvantage to those who do not. We encourage all contractors to reach out to us for guidance and to make use of the many tools we provide to explain their responsibilities."

The SCA requires contractors and subcontractors performing services on prime contracts in excess of $2,500 to pay service employees in various classes no less than the wage rates and fringe benefits found prevailing in the locality, or the rates, including prospective increases, contained in a predecessor contractor's collective bargaining agreement. The Contract Work Hours and Safety Standards Act (CWHSSA) requires contractors and subcontractors to pay workers employed in the performance of covered contracts one-and-one-half times their basic rates of pay for all hours worked over 40 in a workweek.

For more information about the FLSA, SCA, CWHSSA, 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.

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.

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FLATWOODS, KY – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), the U.S. District Court for the Eastern District of Kentucky has sentenced Michael Anthony Wheeler – owner of Tri-State Lawn Care Inc. operating in Kentucky, Ohio, and West Virginia – to serve five years on unsupervised probation and ordered him to pay $327,087 in back wages to 17 employees for violating requirements of the Fair Labor Standards Act (FLSA) and the H-2A visa program.

WHD investigators determined that Wheeler falsified his H-2A application when he misrepresented the type of work the employees would perform. The documents certified by Wheeler represented that the foreign workers would be engaged in agricultural work, but Wheeler instead knowingly hired them to perform non-agricultural work such as lawn care and construction work. Wheeler also charged workers fees for airfare to and from their home country and charged fees for housing and transportation to and from their assigned daily job assignments, which the visa program prohibits. Wheeler also failed to pay the prevailing wage, and overtime when they worked over 40 hours in a workweek, an FLSA requirement.   

In April 2019, the U.S. Attorney's Office for the Eastern District of Kentucky charged Wheeler with criminal violations in connection with making false statements on his application and violating the FLSA. Tri-State Lawn Care and Wheeler pleaded guilty to willful violations of the FLSA's overtime requirement and eight counts of making false statements on his H-2A applications. In addition to paying the back wages, Tri-State and Wheeler agreed to a 10-year H-2A debarment, five years of third party monitoring, and $125,000 in fines and forfeitures.

"This case sends a strong message about the U.S. Department of Labor's commitment to safeguard American jobs, level the playing field for law-abiding employers, and ensure that guest workers are paid the wages they have earned," said Wage and Hour Regional Administrator Juan Coria, in Atlanta, Georgia. "Employers seeking non-immigrant guest workers must abide by all of the program's requirements, to include not placing employees in occupations outside of those listed in their employment certifications where they could displace American workers. We encourage employers to contact the Wage and Hour Division by phone, online, or to attend any of our outreach events for assistance and to learn more about their responsibilities."

WHD, the Department's Office of Inspector General, and its Solicitor worked with other federal law enforcement agencies and the Kentucky State Police in the investigation. The U.S. Attorney's Office for the Eastern District of Kentucky prosecuted the case.

For more information about the FLSA, H-2A, 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 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.

WASHINGTON, DC – The U.S. Department of Labor is hosting an online dialogue to help employers and nursing mothers understand their rights and responsibilities under the law. The Supporting Nursing Mothers in the Workplace dialogue will also solicit best practices to educate nursing mothers about key protections of the Fair Labor Standards Act. Employers, nursing mothers, state and local policymakers, and other interested people can participate through Friday, August 23, 2019.

“This dialogue seeks feedback from key stakeholders who help nursing mothers - from employers and employer groups, to nursing mother groups, to state and local policymakers,” said Cheryl Stanton, Administrator of the Wage and Hour Division. “It’s an important discussion that will allow the Wage and Hour Division to receive valuable feedback on the needs of nursing mothers in the workplace.”

This online dialogue will be hosted by the Department’s Office of Compliance Initiatives (OCI) in partnership with the Wage and Hour Division, Women’s Bureau, and the Office of Disability Employment Policy (ODEP). The dialogue will be facilitated through ODEP’s ePolicyWorks initiative. Please register to participate.

OCI is part of the Department’s Office of the Assistant Secretary for Policy. It aims to foster a compliance assistance culture within the Department, complement its enforcement efforts, and improve compliance assistance outreach. Through Worker.gov and Employer.gov, OCI provides information about worker rights and employer responsibilities.

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.

Editor’s note: This news release was changed to update the date from Monday, August 19, 2019 to Friday, August 23, 2019.