WEST COVINA, CA – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Pho Ha Pomona Inc. – operator of Pho Ha Vietnamese Restaurant based in Pomona, California – will pay $219,716 in back wages and liquidated damages to 33 employees for minimum wage, overtime, and recordkeeping violations of the Fair Labor Standards Act (FLSA).

WHD investigators found that Pho Ha Pomona Inc. failed to pay servers, cooks, cook assistants, and dishwashers required overtime at time-and-a-half when they worked beyond 40 hours in a workweek. Instead, the employer paid straight time rates for all of the employees' hours, including making payments in cash at straight time for some of the overtime hours. The employer also failed to pay at least the federal minimum wage of $7.25 per hour to three employees. Additionally, the employer failed to keep accurate time records, as required by law. 

"Employers must pay employees the wages they have legally earned for all the hours they have worked," said Wage and Hour Division District Director Daniel Pasquil in West Covina. "We encourage all employers to use the many tools the Department of Labor provides to help them understand their obligations and to comply with the law."

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 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 for workers who may be owed back wages collected by WHD.

SPRINGDALE, AR – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Rental Concepts LLC - doing business as RNR Tire Express in Springdale, Arkansas - has paid $96,511 in back wages to 239 employees to resolve systemic violations of the Fair Labor Standards Act (FLSA) overtime provisions. The employer also violated the Family Medical Leave Act (FMLA) recordkeeping provisions.

WHD investigators found the employer violated FLSA overtime requirements when it failed to include monthly sales commissions and production bonuses earned by employees in addition to their hourly pay when calculating overtime rates for account managers, salesmen, and shop technicians. Additionally, while the company provided medical leave for employees, it failed to provide notice to its employees regarding the Family Medical Leave Act (FMLA), as required.

"This case is a good example of how seemingly small mistakes in payroll can add up quickly and violate the FLSA," said Wage and Hour Division District Director Hanz Grünauer, in Little Rock. "The U.S. Department of Labor offers many tools and resources to employers to increase compliance. Employers should take advantage of these resources."

The Department provides numerous resources and tools to help employers understand their responsibilities and 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, FMLA, 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.

LAS VEGAS, NV - The U.S. Department of Labor's Wage and Hour Division (WHD) will present an educational forum about developments in its policies and regulations, and the Department's Payroll Audit Independent Determination (PAID) Program, in Las Vegas, Nevada, on November 27, 2018.

PAID facilitates resolution of potential overtime and minimum wage violations under the Fair Labor Standards Act (FLSA). The program's primary objectives are to resolve such claims quickly and without litigation, to improve employers' compliance with overtime and minimum wage obligations, and to ensure that more employees receive the back wages they are owed - faster.

WHAT:
Wage and Hour Division Educational Forum

WHEN:
November 27, 2018
9:00 a.m. to 12:00 p.m. PST

WHERE:
Nevada State Business Center
3300 W Sahara Ave., 4th Floor, Suite 400 (Nevada Room)
Las Vegas, NV 89102

(For those seeking to attend via video teleconference)
Nevada State Division of Insurance
1818 E College Parkway, 1st Floor
Carson City, NV 89706

The forum will include members of the Division's Washington, D.C., office and regional staff as well as representatives from the Nevada Labor Commissioner's Office and representatives from the Nevada Association of Employers. Attendance is free, but pre-registration is required. Complete advance registration.

For more information about the PAID program, visit www.dol.gov/whd/PAID, or call 866-4US-WAGE. For more information about this event, call District Director Gaspar Montañez at 702-928-1250 or email montanez.gaspar@dol.gov.

WEST COVINA, CA – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Pacific Custom Pools Inc. – based in Pasadena, California – will pay $104,739 to 13 employees for overtime violations of the Fair Labor Standards Act (FLSA).

WHD investigators found the employer failed to pay installers overtime at time-and-a-half when they worked beyond 40 hours in a workweek as required by law. Instead, the company held, or “banked,” these hours until a later date when it paid them out as straight-time rates of pay – either during workweeks when employees worked less than 40 hours, or when employees requested that they be paid their banked hours in a lump sum. 

“Employers must pay employees the wages they have legally earned for all the hours they have worked,” said Wage and Hour Division Assistant District Director Rafael Valles, in West Covina. “The U.S. Department of Labor is committed to protecting all workers, and will continue to provide education and tools to help employers understand their responsibilities and 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.

SAN DIEGO, CA – Twenty-five El Pollo Loco restaurants in San Diego County – operated by Pel/Lion LLC of Oceanside, California – will pay 35 employees $31,939 after a U.S. Department of Labor Wage and Hour Division (WHD) investigation found violations of the Fair Labor Standards Act (FLSA).

WHD investigators found Pel/Lion LLC failed to include non-discretionary bonuses paid to hourly managers in their regular earning rates when calculating their overtime pay. This exclusion resulted in overtime rates lower than those required by law. The investigation also found that the employer paid flat salaries to maintenance workers without regard to the number of hours they actually worked. This practice resulted in overtime violations when these employees worked more than 40 hours in a week and were not paid overtime. The company also failed to maintain accurate time records for the salaried workers, resulting in recordkeeping violations under the FLSA. 

“No employer should gain a competitive advantage by failing to pay its workers in compliance with the law,” said Wage and Hour Division District Director Rodolfo Cortez in San Diego. “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.”  

For purposes of calculating overtime pay, the FLSA requires that non-discretionary bonuses must be included in the regular rate of pay. Non-discretionary bonuses include those that are announced to employees to encourage them to work more steadily, rapidly or efficiently, and bonuses designed to encourage employees to remain with a facility.

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). 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 www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by WHD.

LOS ANGELES, CA – Templar Transportation Corporation – based in Burbank, California – will pay $80,140 to 26 employees after a U.S. Department of Labor Wage and Hour Division (WHD) investigation found the employer violated overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA). The Department also assessed the company $12,163 in civil penalties.

WHD investigators found that Templar Transportation Corporation paid employees flat salaries without regard for the number of hours they actually worked. This practice resulted in overtime violations when the employees worked more than 40 hours in a week and were not paid overtime. The investigation also found that the employer failed to include non-discretionary bonuses earned by workers when calculating their overtime rates, resulting in those rates being lower than the law requires. The company’s failure to maintain accurate time records also resulted in recordkeeping violations under the FLSA. 

“Simply paying employees a salary does not relieve an employer of its obligation to ensure that employees are paid the wages they have legally earned for all the hours they have worked,” said Wage and Hour Division District Director Kimchi Bui in Los Angeles. “We urge employers to contact the Wage and Hour Division with any questions they may have and also to use the many tools we offer to help them into compliance. Violations can be avoided.”  

For purposes of computing overtime pay, the FLSA requires that an employee’s “regular rate” of pay, upon which the time-and-one-half calculation is based, must include non-discretionary bonuses paid to the employee. Non-discretionary bonuses include those that are announced to employees to encourage them to work more steadily, rapidly or efficiently, and bonuses designed to encourage employees to remain with a facility.

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). 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 www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by WHD.

NEW FRANKEN, WI – Following an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Anna's Healthcare Inc. will pay $113,701 in overtime back wages to 114 current and former employees at both of its Wisconsin residential healthcare facilities in New Franken and Sturgeon Bay. Violations of the overtime and recordkeeping requirements of the Fair Labor Standards Act (FLSA) were identified.

"Employers must maintain accurate records and ensure employees receive all the wages they have legally earned," said Wage and Hour Division District Director David King in Minneapolis. "We encourage employers to make use of the many tools we provide to help them, and to contact the Wage and Hour Division for assistance to ensure they understand their obligations."

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 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 WHD.

WASHINGTON, DC – The U.S. Department of Labor announced today that it has issued four new opinion letters that demonstrate its commitment to providing meaningful compliance assistance to help employees understand their rights and ensure employers have the tools they need to comply with federal labor law. The letters released today address compliance under the Fair Labor Standards Act (FLSA) and other laws.

The Department now offers a search function allowing users to search opinion letters by key word, year, topic, and a variety of other filters. An opinion letter is an official, written opinion by the Department's Wage and Hour Division on how a particular law applies in specific circumstances presented by the person or entity requesting the letter. Opinion letters represent official statements of agency policy.

The public is encouraged to submit requests for opinion letters to the Wage and Hour Division and can visit this webpage to learn how to request an opinion letter or determine whether existing agency guidance already addresses their questions. The Division will exercise discretion in determining whether and how it will respond to each request.

LANSDOWNE, PA – The U.S. Department of Labor has filed suit against Mosluoglu Inc. – operator of Empire Diner & Restaurant in Lansdowne, Pennsylvania – and its principals after an investigation found willful violations of the federal minimum wage, overtime, and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

The Department's Wage and Hour Division (WHD) found that Mosluoglu Inc., company president Ihsan Gunaydin, and restaurant manager Engin Gunaydin seized 10 percent to 15 percent of servers' total tips per shift. As a result, servers were owed the full minimum wage of $7.25 per hour, rather than the $2.83 tipped wage that they received, and are entitled to restoration of their illegally seized tips. Investigators also determined that some employees received straight time rates for overtime hours, and servers were given overtime at time-and-one-half their cash wages ($2.83 per hour) instead of basing overtime rates on the full minimum wage of $7.25 per hour, as the law requires.  

"This company, its president, and its restaurant manager did not pay employees what they rightfully earned," said Wage and Hour Division District Office Director James Cain, in Philadelphia. "We strongly encourage employers to reach out to us for assistance so that violations like these can be avoided."

Filed in the U.S. District Court for the Eastern District of Pennsylvania, the Department's suit seeks back wages and an equal amount in liquidated damages for 83 employees. In addition to obtaining back wages and damages, the suit asks the court to prohibit the restaurant from violating the law in the future.

"The U.S. Department of Labor seeks to restore wages to Empire Diner's underpaid employees, and to level the playing field for employers that comply with the law," said Regional Solicitor Oscar Hampton III, in Philadelphia.

WHD is committed to providing employers with the tools they need to assist them in fulfilling their obligation to understand and comply with the variety of laws the Division enforces. 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 http://www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by the Division.

LUBBOCK, TX – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Llano Logistics Inc. – a distribution company based in Lubbock, Texas – has paid $244,208 in back wages and an equal amount in liquidated damages to 629 employees to settle violations of the Fair Labor Standards Act (FLSA) overtime and recordkeeping provisions.

WHD investigators found Llano Logistics Inc. - a subsidiary of United Supermarkets LLC - violated FLSA overtime requirements when it failed to pay hourly forklift operators and order selectors for work they performed before their shifts began. To meet production standards, employees arrived prior to the start of their shifts to inspect tools and forklifts, and sync radio headsets. Investigators found the company failed to record or pay the workers for any of this pre-shift time even when employees clocked-in before starting work. This practice also resulted in FLSA recordkeeping violations.

“Employers must understand the principles of what counts as work time and compensate employees for all the hours they work,” said Wage and Hour Division Assistant District Director Ryan Martin. “Other employers should use the resolution of this case as an opportunity to review their payroll practices to ensure they’re operating in compliance with the law. The Wage and Hour Division will continue to educate employers and enforce the law so that that employees are paid the wages they have legally earned.”

The Department provides numerous resources and tools to help employers understand their responsibilities and 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.