U.S. Department of Labor Investigation Results in Wisconsin Assisted Living Facilities Paying $113,701 in Overtime Back Wages to 114 Employees

News Release

U.S. Department of Labor Investigation Results in Wisconsin Assisted Living Facilities Paying $113,701 in Overtime Back Wages to 114 Employees

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.

Agency
Wage and Hour Division
Date
November 13, 2018
Release Number
18-1695-CHI
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number

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

News Release

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

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.

Agency
Wage and Hour Division
Date
November 8, 2018
Release Number
18-1828-NAT
Media Contact: Edwin Nieves
Phone Number

U.S. Department of Labor Files Suit to Recover Back Wages And Damages for Pennsylvania Restaurant Employees

News Release

U.S. Department of Labor Files Suit to Recover Back Wages And Damages for Pennsylvania Restaurant Employees

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.

Agency
Wage and Hour Division
Date
November 7, 2018
Release Number
18-1524-PHI
Media Contact: Leni Fortson
Media Contact: Joanna Hawkins

U.S. Department of Labor Recovers Overtime Wages Owed 629 Employees at Texas Company

News Release

U.S. Department of Labor Recovers Overtime Wages Owed 629 Employees at Texas Company

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.

Agency
Wage and Hour Division
Date
November 6, 2018
Release Number
18-1234-DAL
Media Contact: Chauntra Rideaux
Media Contact: Juan Rodriguez

U.S. Department of Labor Investigation Recovers $350,884 in Back Wages And Damages for 20 Employees of New Jersey Supermarket

News Release

U.S. Department of Labor Investigation Recovers $350,884 in Back Wages And Damages for 20 Employees of New Jersey Supermarket

UNION CITY, NJ – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), R&J Supermarket Corp. – based in Union City, New Jersey – will pay $175,442 in back wages and an equal amount in liquidated damages to 20 employees for violations of overtime, minimum wage, and record keeping provisions of the Fair Labor Standards Act (FLSA). The Department also assessed the employer with a $5,491 civil penalty for the willful nature of its violations.

WHD investigators found that R&J Supermarket Corp. – doing business as Supermarket La Roca - paid employees flat salaries without regard to the number of hours they actually worked in a workweek. This practice caused minimum wage violations when those salaries failed to cover the federal minimum wage of $7.25 per hour, and caused overtime violations when those workers exceeded 40 hours in a workweek, yet were not paid overtime in addition to their salaries. The employer also paid some employees completely off the books, in cash, creating recordkeeping violations.

"Simply paying an employee 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 Northern New Jersey Wage and Hour Division District Office Director John Warner. "We encourage all employers to make use of the many tools that we provide to help them understand their responsibilities. Violations like these, along with the fines and damages that may result, can be avoided."

The company will install a time clock to record employee hours worked.

Employers who discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program. For more information about the FLSA and other laws enforced by the Division, contact its toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at https://www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by the Division.

Agency
Wage and Hour Division
Date
November 6, 2018
Release Number
18-1703-NEW

U.S. Department of Labor Recovers $69,765 for Janitorial Services Company Employees, Bars Company from Federal Contract Work

News Release

U.S. Department of Labor Recovers $69,765 for Janitorial Services Company Employees, Bars Company from Federal Contract Work

HARTFORD, CT – Following a U.S. Department of Labor Wage and Hour Division (WHD) investigation, C&W Facility Services Inc. – based in Auburndale, Massachusetts – has paid $69,765 to five employees to resolve multiple McNamara-O'Hara Service Contract Act (SCA) and Fair Labor Standards Act (FLSA) violations by one of its subcontractors.

The U.S. Postal Service (USPS) contracted with C&W Facility Services Inc. to provide janitorial and maintenance services at its Connecticut facilities. C&W Facility Services Inc. subcontracted work to AMV Maintenance LLC – based in Shelton, Connecticut.

An investigation found AMV Maintenance LLC misclassified two employees who performed SCA-covered janitorial work at multiple USPS locations throughout Connecticut as independent contractors, and failed to maintain records of the identities of employees and the dates and locations of work performed. WHD also determined that AMV Maintenance LLC paid some employees flat salaries without regard to the number of hours that they worked. This practice resulted in some employees earning hourly rates that fell well below required SCA prevailing wage rates. AMV Maintenance LLC also failed to pay its SCA-covered employees certain required fringe benefits, holiday pay, or vacation benefits. Finally, the employer violated the SCA and FLSA by failing to pay several employees for their final workweeks.

As a result, the Department has barred AMV Maintenance LLC from future SCA work for three years.

"The U.S. Department of Labor will conduct investigations, assess back wages, and pursue debarment as necessary to ensure that federal contractors and their subcontractors comply with the requirements of the law,"  said the Department's Wage and Hour Division District Director David R. Gerrain in Hartford. "This helps ensure that workers are paid what they have legally earned and also levels the playing field for law-abiding competitors."

For more information about the SCA, 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 WHD.

Agency
Wage and Hour Division
Date
November 6, 2018
Release Number
18-1708-BOS
Media Contact: James C. Lally
Phone Number
Media Contact: Ted Fitzgerald

U.S. Department of Labor Investigation Results in Arizona Roofing Company Paying $86,714 to 30 Employees to Resolve Wage Violations

News Release

U.S. Department of Labor Investigation Results in Arizona Roofing Company Paying $86,714 to 30 Employees to Resolve Wage Violations

PHOENIX, AZ – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Surebuild LLC – a roofing and general contractor based in Cottonwood, Arizona – will pay $86,714 in back wages and liquidated damages due to 30 employees for overtime, minimum wage, and recordkeeping violations of the Fair Labor Standards Act (FLSA). The Department also assessed Surebuild LLC $16,456 in civil penalties for the willful nature of the violations.

WHD investigators found that Surebuild LLC paid employees straight-time rates, in cash, for the overtime hours they worked instead of paying them time-and-one-half for those hours as required by the FLSA. The employer also failed to issue a final paycheck to one employee, resulting in a minimum wage violation. Additionally, the employer failed to maintain complete records of the numbers of hours employees worked.

"Employers must pay employees the wages they have legally earned for all the hours they have worked," said Wage and Hour Division District Director Eric Murray, in Phoenix. "We encourage all employers to use the many tools the Department provides to help them understand their obligations and to comply with the law. Violations like these can be avoided."

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.

Agency
Wage and Hour Division
Date
November 6, 2018
Release Number
18-1795-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali

Pennsylvania Tree Service Company Pays $86,608 in Back Wages, Damages To Resolve Violations Following U.S. Department of Labor Investigation

News Release

Pennsylvania Tree Service Company Pays $86,608 in Back Wages, Damages To Resolve Violations Following U.S. Department of Labor Investigation

BRIDGEVILLE, PA – The U.S. Department of Labor's Wage and Hour Division (WHD) has reached an agreement with Sidelines Tree Service LLC – based in Bridgeville, Pennsylvania – to resolve violations of the federal Fair Labor Standards Act (FLSA). Sidelines Tree Service LLC has paid $43,304 in back wages and an equal amount in liquidated damages to 69 employees and pledged future compliance with the FLSA.

WHD investigators found that the company paid employees straight-time rates for their overtime hours instead of paying them time-and-one-half for those hours as required by the FLSA. The company also failed to keep required records of the number of hours worked by one misclassified salaried employee, and failed to display the "Employee Rights" FLSA poster.

"The resolution of this case puts these wages into the hands of the people who rightfully earned them," said John DuMont, Wage and Hour District Director in Pittsburgh, Pennsylvania. "We hope that other employers take this as an opportunity to examine their own payroll practices to ensure they're in compliance. We encourage all employers to use the many tools the U.S. 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 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.

Agency
Wage and Hour Division
Date
November 6, 2018
Release Number
18-1595-PHI
Media Contact: Leni Fortson
Media Contact: Joanna Hawkins

Pennsylvania Restaurant Pays $85,936 in Back Wages and Damages To Resolve Violations Found in U.S. Department of Labor Investigation

News Release

Pennsylvania Restaurant Pays $85,936 in Back Wages and Damages To Resolve Violations Found in U.S. Department of Labor Investigation

INDIANA, PA – An investigation by the U.S. Department of Labor's Wage and Hour Division (WHD) has resulted in Regency Fine Food and Drink LLC – doing business as Tres Amigos – paying $42,968 in back wages and an equal amount in liquidated damages to five employees to resolve violations of the overtime and recordkeeping requirements of the Fair Labor Standards Act (FLSA).

WHD investigators found that the Indiana restaurant violated the FLSA by failing to pay cooks and dishwashers time-and-one-half for their overtime hours when they worked more than 40 hours in a week. Instead, the employer paid these workers flat salaries, without regard to how many hours they actually worked. This practice also led to recordkeeping violations when the employer failed to record the number of hours worked by these employees.  

"The employees at this establishment were denied the wages they rightfully earned," said John DuMont, Pittsburgh Wage and Hour Division District Office Director. "Just because a particular pay practice seems to be common in an industry does not mean that it's legal. The U.S. Department of Labor will continue working to ensure that employees receive the wages they have earned, and that law-abiding employers are able to compete on a level playing field. We offer many resources to provide employers the tools they need to understand their responsibilities 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 Division, contact its toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at https://www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by the Division.

Agency
Wage and Hour Division
Date
November 6, 2018
Release Number
18-1463-PHI
Media Contact: Leni Fortson
Media Contact: Joanna Hawkins

U.S. Department of Labor Investigation Results in Tennessee Convenience Store Being Ordered to Pay $62,794 in Back Wages and Damages to 18 Employees

News Release

U.S. Department of Labor Investigation Results in Tennessee Convenience Store Being Ordered to Pay $62,794 in Back Wages and Damages to 18 Employees

ERIN, TN – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), the U.S. District Court for the Middle District of Tennessee has ordered Ho-Jo's Mini Mart – based in Erin, Tennessee – and its owner David Gardner to pay $62,794 in back wages and liquidated damages to 18 employees for violations of the minimum wage, overtime, and recordkeeping requirements of the Fair Labor Standards Act (FLSA). In addition to ordering payment of back wages and damages, the court permanently enjoined Ho-Jo's Mini Mart and Gardner from committing future violations of the FLSA, and assessed the store a civil money penalty of $7,908.

WHD investigators determined Ho-Jo's Mini Mart failed to pay employees for all of the hours they spent in training and required some employees to work off the clock without pay. By doing so, the employer caused employees' average pay per hour to drop below the federal minimum wage of $7.25 per hour. The employer also paid some employees flat salaries without regard to the number of hours that they worked. That practice resulted in some workers being paid less than the minimum wage, and resulted in overtime violations when those employees worked more than 40 hours per week.

In addition, Ho-Jo's Mini Mart paid other employees straight time for their overtime hours, and failed to pay other employees any wages at all for overtime hours they worked off the clock. Investigators also found the employer altered time records to create the appearance that employees had worked fewer than 40 hours when they had exceeded that threshold and were legally due overtime.

"Employers must pay employees the wages they have legally earned for all the hours they have worked," said Wage and Hour Division District Director Nettie Lewis, in Nashville. "The outcome of this investigation serves as a reminder for all employers to review their pay practices and to confirm they are paying their employees as the law prescribes. The Wage and Hour Division offers numerous tools to help employers learn about their responsibilities and how to comply 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
November 6, 2018
Release Number
18-1746-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino
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