U.S. Department of Labor Investigation Results in Alabama Medical Services Company Paying Former Employee Lost Wages and Medical Costs

News Release

U.S. Department of Labor Investigation Results in Alabama Medical Services Company Paying Former Employee Lost Wages and Medical Costs

MOBILE, AL – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), AltaPointe Health Systems Inc. – operating in the Mobile, Alabama, area as BayPointe Hospital, EastPointe Hospital, and CarePointe – will pay an employee $6,588 in lost wages and incurred medical expenses for violating the Family and Medical Leave Act (FMLA).

WHD investigators found AltaPointe Health Systems Inc. unlawfully terminated an employee when she returned to work after taking time off to seek medical care for an FMLA-covered health condition. In addition to paying the employee $1,859 in lost earnings, the company will reimburse the employee $4,729 for medical expenses that accumulated when she lost her health insurance coverage after being released from her job.

“The Family and Medical Leave Act allows for critically needed workplace flexibility precisely when employees need it the most,” said Wage and Hour Division District Director Kenneth Stripling, in Birmingham, Alabama. “The FMLA provides peace of mind to employees undergoing medical care and allows them to focus on their recovery; knowing their job will be there when they return. The Wage Hour Division is committed to enforcing the law and educating employers to ensure employees are not prevented from exercising their rights.”

The FMLA provides eligible employees up to 12 weeks of unpaid, job-protected leave due to their own or a family member’s serious health condition with continuation of health care coverage under the same terms and conditions as if the employee had not taken leave.

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.

Agency
Wage and Hour Division
Date
February 14, 2019
Release Number
19-249-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino

U.S. Department of Labor Investigation Results in Golf Management Company Paying $19,776 in Back Wages to 24 Employees

News Release

U.S. Department of Labor Investigation Results in Golf Management Company Paying $19,776 in Back Wages to 24 Employees

ORLANDO, FL – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Arnold Palmer Golf Management LLC – operating as Walt Disney World Golf in Orlando, Florida – has paid $19,776 in back wages to 24 employees for violating minimum wage, overtime, and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

WHD investigators determined the employer incorrectly classified one employee as exempt from the FLSA's overtime requirements. That error resulted in violations when the employer paid a set salary, without regard to the number of hours the employee actually worked, and failed to pay overtime for any hours the employee worked beyond 40 in a workweek. The employer also automatically deducted time from workers' timecards for lunch breaks but failed to pay employees who worked through those breaks.

In addition, WHD found Arnold Palmer Golf Management LLC failed to include automatic service charges and commissions paid to employees in their regular rates of pay when calculating overtime. Omitting these earnings from the calculation resulted in the employer paying overtime at rates lower than those required by law.

"Employers must have a clear understanding of their responsibilities under the law to guarantee employees are paid the wages they have earned," said Wage and Hour Division District Director Daniel White, in Jacksonville, Florida. "The U.S. Department of Labor encourages all employers to reach out to their local Wage and Hour Division office for information about how to comply, 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
February 13, 2019
Release Number
19-0206-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino

U.S. Department of Labor Investigation Finds Child Labor Violations By 8 Retailers at Mall in Elizabeth, New Jersey

News Release

U.S. Department of Labor Investigation Finds Child Labor Violations By 8 Retailers at Mall in Elizabeth, New Jersey

ELIZABETH, NJ – An investigation by the U.S. Department of Labor's Wage and Hour Division (WHD) has found that eight retailers operating at The Mills at Jersey Gardens – in Elizabeth, New Jersey – allowed underage employees to operate and unload potentially dangerous paper baling and cardboard compacting machines, in violation of federal child labor requirements of the Fair Labor Standards Act (FLSA). WHD assessed a total of $40,667 in penalties to the retailers.

The retailers are:

  • Aldo U.S. Inc. (Aldo)
  • LTC Foods LLC (Cold Stone Creamery)
  • Cornerstone Apparel Inc. (Papaya Clothing)
  • New Deal LLC (Against All Odds)
  • Genesco Inc. and Subsidiaries (Journeys)       
  • Puma Suede Holding Inc. and Subsidiaries (Puma)
  • Johnny Rockets Group Inc.     
  • Sketchers U.S.A. Inc. and Subsidiaries

WHD investigators found the retailers violated FLSA requirements when they allowed 16- and 17-year-old employees to use the machines to discard scrap paper and flatten cardboard boxes. The law prohibits use of such equipment by any employees under 18 years old.

"All of these retailers have policies in place that aim to ensure compliance with child labor standards," said Wage and Hour Division District Director John Warner in Mountainside, New Jersey. "The number of violations we found demonstrates why employers must remain vigilant and even more closely supervise minors they employ. Child labor laws ensure young employees gain a positive work experience that does not interfere with their education, health, or well-being."

In addition to paying the assessed penalties, the retailers have each agreed to ensure future compliance by implementing one or more of the following: training management and staff on federal child labor requirements; mounting signage prohibiting employees under the age of 18 years from using prohibited equipment; highlighting the names of minors on work schedules to increase managers' awareness; and changing store policy to ensure minors do not take out the trash as part of their job duties.

Employees and employers can get more information about federal wage laws administered by the Division by calling the agency's toll-free helpline at 866-4US-WAGE (487-9243). Employees can also file complaints confidentially. More information also is available online at https://www.dol.gov/whd.

Agency
Wage and Hour Division
Date
February 13, 2019
Release Number
19-0202-NEW
Media Contact: Leni Fortson
Media Contact: Joanna Hawkins

U.S. Department of Labor Investigation Results in Louisiana-based Transportation Company Paying $25,032 in Back Wages to Employees at Mississippi Branch

News Release

U.S. Department of Labor Investigation Results in Louisiana-based Transportation Company Paying $25,032 in Back Wages to Employees at Mississippi Branch

JACKSON, MS – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Statewide Transport Inc. will pay $25,032 in back wages to 21 employees at its Jackson, Mississippi, terminal for violating overtime and recordkeeping requirements of the Fair Labor Standards Act (FLSA) and provisions of the Family and Medical Leave Act (FMLA).

WHD investigators determined Statewide Transport Inc. – based in Hammond, Louisiana – misapplied the FLSA's motor carrier exemption  and subsequently failed to pay drivers of smaller delivery vehicles overtime when they worked more than 40 hours in a workweek. The company also failed to maintain accurate payroll records, and failed to display an FLSA poster in the work area.

Investigators also found Statewide Transport Inc. failed to have a general or specific FMLA policy in place, as required.

"The misapplication of exemptions can lead to costly violations when employers are not fully aware of their responsibilities and the requirements of the law," said Wage and Hour Division District Director Audrey Hall, in Jackson. "The Wage and Hour Division stands ready to assist employers with any questions they have, and offers a wide range of compliance assistance tools to help explain their responsibilities. We encourage employers to reach out to us, confidentially, at any time for assistance."  

For more information about the FLSA, FLMA, 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
February 13, 2019
Release Number
19-0221-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino

U.S. Department of Labor Investigation Results in U.S. District Court Ordering Hotels in Louisiana to Pay Back Wages and Penalties

News Release

U.S. Department of Labor Investigation Results in U.S. District Court Ordering Hotels in Louisiana to Pay Back Wages and Penalties

SHREVEPORT, LA – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), the U.S. District Court for the Western District of Louisiana has ordered two Louisiana hotels, Merryton LLC - doing business as Merryton Inn in Shreveport - and Merryton Bossier LLC - doing business as Bossier Inn and Suites in Bossier City - to pay $9,928 in back wages and liquidated damages to 22 employees for violating the Fair Labor Standards Act's (FLSA) minimum wage, overtime and recordkeeping requirements. The employer was also assessed $4,071 in civil money penalties.

WHD investigators determined the hotels violated FLSA minimum-wage provisions by failing to pay employees for all the hours that they worked. The employers violated overtime requirements when it paid straight time rates for overtime hours, and paid for those hours with separate checks. The court also ordered the employers to pay an additional $5,000 in lost wages for violating the FLSA's anti-retaliation provisions when it terminated one employee in Bossier City who questioned the employer's pay practices. The hotels also violated recordkeeping requirements when they failed to keep accurate attendance and payroll records. 

"The U.S. Department of Labor will enforce labor protections vigorously, particularly when employers repeatedly violate FLSA requirements and retaliate against employees for questioning their employer about wages they may be due," said Wage and Hour Division Acting Regional Administrator Donnette Holder. "We readily offer employers information and tools to assist them in complying with federal labor law. When violations occur, we will use all available remedies, including litigation, to enforce 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
February 12, 2019
Release Number
19-0165-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux

U.S. Department of Labor Investigation Results in Los Angeles Supported Living Services Provider Paying $301,763 to 67 Employees

News Release

U.S. Department of Labor Investigation Results in Los Angeles Supported Living Services Provider Paying $301,763 to 67 Employees

LOS ANGELES, CA – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Golden Life Supported Living Agency Inc. – a service provider for clients with developmental disabilities in Los Angeles, California – will pay 67 employees $301,763 in back wages for violating overtime provisions of the Fair Labor Standards Act (FLSA).

WHD investigators found that Golden Life Supported Living Agency Inc. paid only straight-time rates to its hourly-paid care provider employees without regard to the number of hours they worked. This practice resulted in violations when the employer failed to pay overtime when employees worked beyond 40 hours in a workweek. The employer's failure to accurately record the overtime hours worked also resulted in recordkeeping violations under the FLSA.

"Employers are responsible for paying their employees all the wages that they have earned, including the payment of overtime rates when they work more than 40 hours in a workweek," said Wage and Hour District Director Kimchi Bui, in Los Angeles. "We encourage all employers to make use of the many tools we offer to help them understand their responsibilities, and to reach out to us directly, and confidentially, with any questions they may have about how to comply with the law."

Employers that 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 Wage and Hour Division, 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
February 12, 2019
Release Number
19-0201-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali

U.S. Department of Labor Recovers $5,579,939 for 993 Employees Who Performed Hurricane Recovery Work in Puerto Rico

News Release

U.S. Department of Labor Recovers $5,579,939 for 993 Employees Who Performed Hurricane Recovery Work in Puerto Rico

GUAYNABO, PR – Investigations by the U.S. Department of Labor's Wage and Hour Division (WHD) have resulted in the recovery of $5,579,939 in back wages and benefits owed to 993 employees of nine subcontractors that provided power generator operation support for hurricane recovery efforts in Puerto Rico. WHD investigators found that the subcontractors violated requirements 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).

As part of the resolution of these investigations, Louis Berger U.S. Inc. and its parent entity Louis Berger Group Inc. – both based in Morristown, New Jersey – have paid $5,030,449 to resolve the SCA and CWHSSA violations while the subcontractors have paid $549,490 for the FLSA violations found by WHD.

WHD investigators discovered violations that included failing to pay employees fringe benefits required by the SCA, and failing to pay required wages to employees misclassified as independent contractors. Additionally, the practice of paying employees flat rates regardless of the number of hours that they worked resulted in overtime violations when those workers exceeded 40 hours in a week, without being paid overtime. WHD cited recordkeeping violations for employers' failure to maintain a record of the number of hours employees worked.

"Employers must pay employees all the wages they have legally earned," said Wage and Hour Division Caribbean District Director Jose Vazquez. "These employees - many of whom live in Puerto Rico - have been instrumental in restoring electric power to communities. These back wages will greatly help them to rebuild and support the long-term recovery of the local economy."

In addition to paying the back wages, Louis Berger US Inc. and Louis Berger Group Inc. have agreed to implement new procedures to ensure pay practices fully comply with applicable laws, and to ensure the compliance of subcontractors with the SCA, CWHSSA, and the FLSA on federal contracts. For three years, Louis Berger U.S. Inc. and Louis Berger Group Inc. have agreed to:

  • Appoint an internal compliance manager to oversee subcontractors' compliance on certain prevailing wage contracts, including the accurate classification of workers;
  • Provide subcontractors' employees with written notice of their job classifications, applicable wage rates, overtime rates, and a description of their fringe benefits;
  • Pay wages and fringe benefits found due subcontractor employees if subcontractors fail to pay;
  • Include applicable labor standards clauses and SCA wage determinations in subcontracts on certain federal prevailing wage contracts;
  • Provide training for employees and subcontractors' managers and foreman about the applicable requirements of the SCA, CWHSSA, and FLSA; and,
  • Implement anti-retaliation provisions.

The U.S. Department of Labor recently filed a consent findings and order, which includes these and other measures that are part of an extensive compliance agreement. The Chief Administrative Law Judge of its Office of Administrative Law Judges has approved the consent findings and order.

The nine subcontractors found in violation include:

  • Kallberg Industries LLC, Fort Lauderdale, Florida
  • Kennett Consulting LLC, Weston, Florida
  • Bluesource LLC, Durham, North Carolina
  • Suncoast Resources, Houston, Texas
  • Automated Controls and Power LLC/ACP LLC, Lafayette, Louisiana
  • HP Services Corp., Cupey, Puerto Rico
  • LMD and Assoc. LLC, Charleston, South Carolina
  • DK&J Enterprises Inc. doing business as Roy and Dot's Towing, Rialto, California
  • Able Innovations Inc., Wooster, Ohio

Employees and employers who would like compliance information, who wish to meet with a Wage and Hour representative, have questions or concerns, or wish to file a complaint, should contact WHD's Caribbean District Office at 787-775-1947 or 1-866-4-USWAGE, or by email. All contacts are confidential.

For more information about the SCA and other laws enforced by the Division, contact its 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 WHD.

# # #

In the Matter of: Louis Berger U.S. Inc. and The Louis Berger Group Inc.
Office of Administrative Law Judges Case Number: 2019-SCA-00005

Read this news release En Español

Agency
Office of the Solicitor
Date
February 11, 2019
Release Number
19-0220-NEW
Media Contact: Ted Fitzgerald
Media Contact: James C. Lally
Phone Number

U.S. Department of Labor Investigation Results in Florida Grocery Store Paying $198,039 in Back Wages and Liquidated Damages to 17 Employees

News Release

U.S. Department of Labor Investigation Results in Florida Grocery Store Paying $198,039 in Back Wages and Liquidated Damages to 17 Employees

TAMPA, FL – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), El Grande Supermarket Corp. – operating as El Grande Supermarket in Tampa, Florida – will pay $198,039 in back wages and liquidated damages to 17 employees for violating the minimum wage, overtime, and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

WHD investigators found El Grande Supermarket Corp. paid one employee a fixed salary without regard to the number of hours the employee worked. This practice resulted in a minimum wage violation when that salary failed to cover all of the hours that the employee worked at the federal minimum wage of $7.25 per hour. The employer also paid overtime-eligible employees straight time rates when they worked more than 40 hours in a week, violating the FLSA’s overtime requirements. WHD also found recordkeeping violations when the employer failed to record cash payments made to workers, and when El Grande failed to maintain other required payroll records.

“The outcome of this investigation serves as a reminder to all employers to review their pay practices to ensure employees are being paid for all the hours that they work,” said Wage and Hour Division District Director James Schmidt, in Tampa. “We remain committed to ensuring that employers who comply with the law do not find themselves at a competitive disadvantage to those who do not. We provide a wide variety of educational materials to help employers understand their responsibilities, and we staff offices nationwide to assist employers with compliance questions.”

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
February 7, 2019
Release Number
19-180-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number

U.S. Department of Labor Investigation Results in Florida Cell Phone Company Paying $27,514 in Back Wages and Damages

News Release

U.S. Department of Labor Investigation Results in Florida Cell Phone Company Paying $27,514 in Back Wages and Damages

PENSACOLA, FL – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), IV Wireless LLC – operating as Boost Mobile in Pensacola, Florida – will pay $27,514 in back wages and liquidated damages to 32 employees for violating the minimum wage, overtime, and recordkeeping requirements of the Fair Labor Standards Act (FLSA).

WHD investigators determined the cell phone service and accessories provider deducted pay from employees to make up for cash register shortages, inventory deficiencies, and transactional errors. This practice resulted in minimum wage violations when, because of the deductions, the employees’ hourly wages fell below the federal minimum wage of $7.25 per hour. IV Wireless also failed to pay some employees time-and-one-half when they worked more than 40 hours in a workweek, paying only straight-time wages, and resulting in overtime violations of the FLSA.

When IV Wireless did pay overtime, the employer failed to include commission payments when determining employees’ overtime rates, resulting in payments in amounts lower than the law requires. The employer also failed to maintain accurate records of the number of hours employees worked on a weekly basis.

“Penalizing employees by withholding a portion of their pay created violations in this case and denied workers wages they had legally earned,” said Wage and Hour Division District Director Daniel White, in Jacksonville, Florida. “Employers can reach out to us, confidentially, to ask questions and get information about their responsibilities. We offer a wide variety of tools to help them so that violations may be avoided.”

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
February 7, 2019
Release Number
19-169-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino

U.S. Department of Labor Announces New Compliance Assistance Tool

News Release

U.S. Department of Labor Announces New Compliance Assistance Tool

WASHINGTON, DC – The U.S. Department of Labor today announced the launch of an enhanced electronic version of the Handy Reference Guide to the Fair Labor Standards Act (FLSA). This new online version of one of the Wage and Hour Division’s (WHD) most popular publications will assist American employers and workers with a simple, easy-to-follow resource that provides basic WHD information, as well as links to other resources.

WHD established this electronic guide as part of its ongoing efforts to modernize compliance assistance materials for employers and workers, and to provide easily accessible, plain-language information that will guide them to compliance. This tool offers a new design - reformatted for laptops, tablets, and other mobile devices - and provides numerous additional resources and related information, including plain-language videos. It provides immediate access to materials employers frequently need, and allows users to tailor their experience by exploring available information at whatever level of detail they choose. This tool, in conjunction with worker.gov, employer.gov, and other recently released online tools, will ensure greater understanding of federal labor laws and regulations.

“The Wage and Hour Division believes in providing employers all the tools they need to understand their responsibilities and comply with the law,” said Acting Administrator Keith Sonderling. “We are committed to protecting the American worker, and leveling the playing field for job creators who abide by the law. Compliance assistance and vigorous enforcement go hand-in-hand.”

For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the Division’s toll-free helpline at 866-4US-WAGE (487-9243). 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.

OCI is part of the Department of Labor’s Office of the Assistant Secretary for Policy, and fosters a compliance assistance culture within the Department designed to complement its ongoing enforcement efforts. This Office focuses on helping enforcement agencies more effectively use online resources to deliver information and compliance assistance to help the American people. In August 2018, OCI launched Worker.gov and Employer.gov to provide information about workers’ rights and the responsibilities of job creators toward their workers.

Agency
Wage and Hour Division
Date
February 6, 2019
Release Number
19-239-NAT
Media Contact: Edwin Nieves
Phone Number
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