U.S. Department of Labor’s Overtime Proposal Open for Public Comment

News Release

U.S. Department of Labor’s Overtime Proposal Open for Public Comment

WASHINGTON, DC – The U.S. Department of Labor announced today that the Office of the Federal Register has published the Department's Notice of Proposed Rulemaking that would make more than a million more American workers eligible for overtime under the Fair Labor Standards Act (FLSA).

The official publication in the Federal Register marks the start of the proposal's public comment period, which will remain open for 60 days and close on May 21, 2019.

More information about the proposed rule is available at www.dol.gov/whd/overtime2019. The Department encourages any interested members of the public to submit comments about the proposed rule electronically at www.regulations.gov, in the rulemaking docket RIN 1235-AA20. Comments must be received by May 21, 2019 to be considered.

Agency
Wage and Hour Division
Date
March 22, 2019
Release Number
19-0474-NAT
Media Contact: Edwin Nieves
Phone Number

U.S. Department of Labor Fines City of Orem After Investigation Finds Child Labor Violations

News Release

U.S. Department of Labor Fines City of Orem After Investigation Finds Child Labor Violations

CITY OF OREM, UT – The City of Orem, Utah, has paid $16,350 in civil money penalties to resolve child labor violations of the Fair Labor Standards Act (FLSA) after the U.S. Department of Labor’s Wage and Hour Division (WHD) found the city employed 25 children under the age of 16 at its Scera Park Pools after 9 p.m. in the summers of 2017 and 2018.

The FLSA does not contain any hours requirements for minors 16 years of age and older.  Employees under the age of 16 may only work from 7 a.m. to 7 p.m.; except between June 1 and Labor Day, when the evening hour is extended to 9 p.m.  In addition, these employees must work outside of school hours, not more than three hours on a school day, not more than eight hours on a non-school day, not more than 18 hours during a week when school is in session, and not more than 40 hours during a week when school is not in session.

“Child labor laws exist to provide meaningful work experience to young people while also keeping them safe on the job,” said Wage and Hour Division District Director Kevin Hunt in Salt Lake City. “Employers must be aware of both federal and state laws that apply to workers under age 18. We encourage all employers to review their employment obligations and to contact the Wage and Hour Division for compliance assistance.”

The Department offers numerous resources and tools to help employers understand their responsibilities and comply with federal law, including a Youth Employment Compliance Assistance Toolkit.

Local WHD offices welcome confidential calls and in-person visits, and the Division’s library of online videos offers useful information on FLSA compliance. 

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.

 

Agency
Wage and Hour Division
Date
March 21, 2019
Release Number
19-434-DEN
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux

U.S. Department of Labor Investigation Results in Alabama Sheriff’s Department Paying $49,968 in Back Wages for Overtime Violations

News Release

U.S. Department of Labor Investigation Results in Alabama Sheriff’s Department Paying $49,968 in Back Wages for Overtime Violations

ATHENS, AL – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), the Limestone County Sheriff's Department – based in Athens, Alabama – will pay $49,968 in back wages to 126 employees for violations of the overtime and recordkeeping requirements of the Fair Labor Standards Act (FLSA).

WHD found the Limestone County Sheriff's Department failed to pay deputies for hours they worked when they were required to file warrants at the courthouse outside the hours of their scheduled shifts. In many instances, the courthouse was not open during officers' regularly scheduled shifts, so visits to the facility necessarily occurred outside of their regular work hours. The Limestone County Sheriff's Department failed to record this time or paid deputies for it.

WHD also found that the employer failed to pay employees for time they spent working at an annual fundraising event. Investigators determined that these hours worked by the employees did not meet the definition of "volunteer" work according to FLSA regulations when the sheriff's department pressured employees into working at the event and took adverse disciplinary action toward any employee who refused to volunteer.

"The resolution of this case serves as a reminder for local, county, and state governments that they are subject to the FLSA's requirements," said Wage and Hour District Director Kenneth Stripling, in Birmingham, Alabama. "Employees have a right to be paid for all of the hours that they work, and cannot be forced to volunteer their time. We encourage all employers to make use of the many tools we provide to help them understand their responsibilities and operate in compliance with the law."

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.

Agency
Wage and Hour Division
Date
March 19, 2019
Release Number
19-0406-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino

U.S. Department of Labor Investigations Find Wage Violations At Kentucky Fried Chicken and Arby’s in South Carolina and Georgia

News Release

U.S. Department of Labor Investigations Find Wage Violations At Kentucky Fried Chicken and Arby’s in South Carolina and Georgia

GREENVILLE, SC – After investigations by the U.S. Department of Labor's Wage and Hour Division (WHD), Whiteford's Inc. – operator of 30 Kentucky Fried Chicken and Arby's fast food locations in South Carolina and Georgia, and based in Greenville, South Carolina – has paid $32,797 in back wages to 298 employees for violating the minimum wage and overtime provisions of the Fair Labor Standards Act (FLSA).

WHD investigators found the employer failed to include workers' performance-based bonuses in the calculation when determining their overtime rates, resulting in violations for assistant managers and shift leads who received these bonuses every four weeks. Excluding these amounts from the calculation resulted in the employer paying these workers overtime at rates lower than those required by law. The FLSA generally requires employers to pay overtime at one-and-one-half times workers' total earnings per hour, not just their base rates. 

In addition, the employer deducted a portion of some employees' wages for uniforms, which resulted in minimum wage violations when those deductions caused workers' hourly wages to dip below the federal minimum wage of $7.25 per hour.

"The outcome of this case puts these wages into the hands of those who earned them, and demonstrates how the U.S. Department of Labor's enforcement levels the playing field for law-abiding employers," said Wage and Hour Division District Director Jamie Benefiel, in Columbia. "We encourage all employers to make use of the many tools our Agency offers to help them understand their obligations and to avoid violations."

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.

Agency
Wage and Hour Division
Date
March 19, 2019
Release Number
19-0403-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number

U.S. Department of Labor Investigation Results in Federal Court Requiring West Virginia Consulting Firm to Pay $1,635,804 in Back Wages and Damages

News Release

U.S. Department of Labor Investigation Results in Federal Court Requiring West Virginia Consulting Firm to Pay $1,635,804 in Back Wages and Damages

BRIDGEPORT, WV – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), a federal appeals court affirmed a district court judgment requiring Fire & Safety Investigation Consulting Services LLC – based in Bridgeport, West Virginia – to pay $817,902 in back wages and an equal amount in liquidated damages to 70 employees.

The U.S. Court of Appeals for the Fourth District upheld a May 2018 summary judgment granted by the Northern District of West Virginia that ruled that Fire & Safety Investigation Consulting Services LLC, and owner Christopher Harris, violated the Fair Labor Standards Act (FLSA).

WHD investigators found the employer failed to pay employees an overtime premium when they worked more than 40 hours in a workweek. Instead, the employer paid employees what they referred to as a "hitch rate," a fixed amount paid every two weeks. This practice resulted in overtime violations when employees worked beyond 40 hours in a single workweek and the employer failed to pay overtime in addition to their flat rates. The employer also violated FLSA recordkeeping requirements by failing to maintain records of the number of hours employees worked.

"Employers must pay their employees all the wages they legally earned. We urge all employers to make use of the many tools the U.S. Department of Labor provides to help them understand and comply with the law, and to call us for assistance," said Wage and Hour Division District Director John DuMont, in Pittsburgh, Pennsylvania.

"These violations are common in the oil and gas industry and remind other employers that they must comply with the law," said Regional Solicitor Oscar Hampton III, in Philadelphia.

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.

Agency
Wage and Hour Division
Date
March 19, 2019
Release Number
19-0350-PHI
Media Contact: Joanna Hawkins
Media Contact: Leni Fortson

U.S. Department of Labor Investigation Results in Green Bay, Wisconsin Restaurant Paying $106,856 in Back Wages and $6,591 in Penalties

News Release

U.S. Department of Labor Investigation Results in Green Bay, Wisconsin Restaurant Paying $106,856 in Back Wages and $6,591 in Penalties

GREEN BAY, WI – Following a U.S. Department of Labor Wage and Hour Division (WHD) investigation, a Green Bay, Wisconsin, restaurant and its owner have paid $106,856 in back wages to 109 current and former employees, and an additional $6,591 in civil money penalties for child labor violations and willful overtime violations of the Fair Labor Standards Act (FLSA).

WHD investigators found that Mackinaws Grill and Spirits, and owner Kevin Quinn, willfully violated the FLSA's overtime requirements by paying cooks in cash at "straight time" for overtime hours worked. WHD determined the employer issued checks to cooks for the first 40 hours they worked in each workweek, and paid cash for all remaining hours.

Investigators also found the employer violated the FLSA's minimum wage requirements when deductions from workers' pay for uniforms and pagers caused their rates to dip below the federal minimum wage of $7.25 per hour. Mackinaws also failed to maintain accurate time records, and to display FLSA posters at the worksite as required by law.

Child labor violations occurred when Mackinaws and Quinn employed three minors under age of 16 to work more hours than allowed by law.

"This investigation serves as a reminder to other employers to evaluate their pay practices to ensure that they comply with the law, and that if they employ minors, that they do so within established guidelines," said Wage and Hour District Director David King, in Minneapolis. "We encourage employers and employees alike to contact us for guidance, and use the wide variety of tools we offer to help employers comply with the law and employees receive the wages they are rightfully owed. Violations like those found in this investigation can be avoided."

For more information about the FLSA, child labor provisions and other laws enforced by WHD, contact the Division's toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at http://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
March 19, 2019
Release Number
19-0395-CHI
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number

U.S. Department of Labor Investigation Results in Fire Protection Company Paying $315,846 in Back Wages and Damages to 14 Employees

News Release

U.S. Department of Labor Investigation Results in Fire Protection Company Paying $315,846 in Back Wages and Damages to 14 Employees

ALBUQUERQUE, NM – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Alliance Fire Protection Inc. – based in Albuquerque, New Mexico – has paid $157,923 in back wages and an equal amount in liquidated damages to 14 employees for violating the Fair Labor Standards Act's (FLSA) overtime and recordkeeping requirements.

WHD investigators found the employer failed to pay its fire sprinkler fitters for all of the hours they worked. Specifically, Alliance Fire Protection Inc. failed to pay workers for time they spent picking up materials at the company's location, and time spent traveling to and from worksites. This unrecorded time resulted in overtime violations when employees worked more than 40 hours per week yet remained unpaid for these hours. The employer also violated the FLSA's recordkeeping requirements when they failed to keep accurate time and payroll records. 

"Employers must understand their responsibilities and pay employees for all the hours that they work," said Wage and Hour Division District Director Evelyn Sanchez, in Albuquerque. "Our enforcement and education efforts help to maintain a level playing field for employers and ensure that workers take home all the wages they have legally earned. The results of this case should encourage other employers to examine their pay practices to ensure they are operating in compliance with 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.

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.

Agency
Wage and Hour Division
Date
March 18, 2019
Release Number
19-0184-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux

U.S. Department of Labor Issues Guidance Regarding Employers’ Obligations When Posting Electronic Notice under H-1B Visa Program

News Release

U.S. Department of Labor Issues Guidance Regarding Employers’ Obligations When Posting Electronic Notice under H-1B Visa Program

WASHINGTON, DC – The U.S. Department of Labor's Wage and Hour Division (WHD) today issued a Field Assistance Bulletin (FAB) reiterating employers' responsibilities under the H-1B visa program.

The Immigration and Nationality Act (INA) requires employers seeking to employ H-1B workers to notify affected U.S. workers of their intention to hire nonimmigrant workers. WHD is providing additional guidance to employers on how electronic notifications may be used to meet the notification requirements.

"This guidance helps to ensure that American workers receive the notice they need to enforce their rights," said Keith Sonderling, Acting Administrator for the Wage and Hour Division. "These notices are critical to guard against displacement of Americans by H-1B employees. This guidance offers clarity to ensure that U.S. workers are aware of their rights and their employer's intent to hire H-1B workers."

The FAB confirms that if an H-1B employer chooses to provide notice through electronic media, the employer must ensure that affected American workers, including those employed by a third-party, have access to, and are aware of, the electronic notification. This guidance describes the conditions under which electronic notice satisfies these requirements and provides examples of different methods of posting.

The H-1B foreign labor certification program allows American companies to employ nonimmigrant workers in specialty occupations if the employment of such nonimmigrant workers will not adversely affect similarly employed U.S. workers. WHD's enforcement and education efforts related to this program continue to safeguard American jobs, level the playing field for law-abiding employers, and ensure that employers pay workers for what they have legally earned.

More information about the Department's commitment to protect American workers is available at https://www.dol.gov/whd/immigration/protecting-american-workers.htm  You can contact WHD by calling our toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at http://www.dol.gov/WHD.

Agency
Wage and Hour Division
Date
March 15, 2019
Release Number
19-0463-NAT
Media Contact: Megan Sweeney
Phone Number

U.S. Department of Labor Issues New Wage and Hour Opinion Letters

News Release

U.S. Department of Labor Issues New Wage and Hour Opinion Letters

WASHINGTON, DC – The U.S. Department of Labor announced today that it has issued new opinion letters that address compliance issues related to the Family and Medical Leave Act (FMLA) and the Fair Labor Standards Act (FLSA). An opinion letter is an official, written opinion by the Department's Wage and Hour Division (WHD) on how a particular law applies in specific circumstances presented by the individual person or entity that requested the letter.

The opinion letters issued today are:

  • FMLA2019-1-A: Provides an opinion on the obligation to designate FMLA-qualifying leave and prohibition on expanding FMLA leave;
  • FLSA2019-1: Clarifies FLSA wage and recordkeeping requirements for residential janitors and the “good faith” defense; and
  • FLSA2019-2: Addresses FLSA compliance related to the compensability of time spent participating in an employer-sponsored community service program.

The Department offers a search function allowing users to search existing opinion letters by keyword, year, topic, and a variety of other filters; and encourages the public to submit requests for opinion letters to WHD to obtain an opinion or to determine whether existing guidance already addresses their questions. The Division exercises its discretion in determining whether and how it will respond to each request.

Agency
Wage and Hour Division
Date
March 14, 2019
Release Number
19-0441-NAT
Media Contact: Bennett Gamble

U.S. Department of Labor Investigation Results in Federal Court Ordering West Virginia Company to Pay $3.7 Million in Back Wages and Damages

News Release

U.S. Department of Labor Investigation Results in Federal Court Ordering West Virginia Company to Pay $3.7 Million in Back Wages and Damages

MILLWOOD, WV - After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), the U.S. District Court for the Southern District of West Virginia has ordered Team Environmental LLC – a natural gas pipeline construction management company based in Millwood, West Virginia – to pay 300 safety inspectors $1,850,000 in back wages and an equal amount in liquidated damages for violating the Fair Labor Standards Act (FLSA).

WHD investigators found that - from October 20, 2012, to May 8, 2015 - Team Environmental LLC paid its inspectors day rates for all the hours that they worked but failed to pay employees overtime when they worked over 40 hours in a workweek. While the employer argued that the manner in which they paid employees was "industry practice," WHD found their practices violated the FLSA.  

"Team Environmental LLC's practices resulted in their employees taking home less money than they had legally earned," said Wage and Hour District Director John DuMont, in Pittsburgh, Pennsylvania. "Other employers should use this as an opportunity to evaluate their own pay practices using the many tools we provide to ensure that they comply with federal labor law. Costly violations like those in this case can be avoided."

In addition to paying the back wages and damages, the company is enjoined from violating provisions of the FLSA in the future.

"As the Court correctly concluded, industry practice does not relieve an employer from obligations to comply with the FLSA," said Associate Regional Solicitor Samantha N. Thomas in Arlington, Virginia. "Employees are entitled to their full wages for all the hours that they work, including overtime.  This consent judgment helps to level the playing field for employers that abide by the law and encourage FLSA compliance in this industry."

The FLSA requires that covered, non-exempt employees be paid at least the federal minimum wage of $7.25 per hour for all hours worked, plus time and one-half their regular rates for hours worked beyond 40 per week. Employers must also maintain accurate time and payroll records. For more information about the FLSA and other federal wage laws, call the Division's toll-free helpline at 866-4US-WAGE (487-9243). Information also is available at http://www.dol.gov/whd. Employers who discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program.

Agency
Wage and Hour Division
Date
March 13, 2019
Release Number
19-0224-PHI
Media Contact: Leni Fortson
Media Contact: Joanna Hawkins
Subscribe to Wages