Florida Restaurant Pays $50,391 in Back Wages and Damages After U.S. Department of Labor Investigation Finds Overtime Violations

News Release

Florida Restaurant Pays $50,391 in Back Wages and Damages After U.S. Department of Labor Investigation Finds Overtime Violations

NAPLES, FL – Fish Ristorante LLC has paid $50,391 in back wages and liquidated damages to 57 employees after a U.S. Department of Labor's Wage and Hour Division (WHD) investigation found the Naples, Florida, restaurant violated the overtime provision of the Fair Labor Standards Act (FLSA).

WHD investigators determined that Fish Ristorante LLC – doing business as Fish – failed to pay employees overtime at time-and-one-half their regular rates of pay when they worked more than 40 hours in a work week, as the law requires. Instead, Fish Ristorante LLC paid workers their straight time rates without regard to the number of hours they worked. The violations affected employees including servers, cooks, food runners, and kitchen staff.

"Employers must not gain an unfair competitive advantage by paying employees below the wages they have earned," said Wage and Hour Division District Director James Schmidt, in Tampa. "The Department's Wage and Hour Division offers a wide variety of tools to help employers understand their obligations, and encourage anyone with questions to call us confidentially at any time for guidance."

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
October 1, 2018
Release Number
18-1535-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number

South Carolina Medical Benefits Management Company Pays Former Employee for FMLA Violations

News Release

South Carolina Medical Benefits Management Company Pays Former Employee for FMLA Violations

PORT WENTWORTH, GA – Evicore Healthcare – a medical benefits management company based in Bluffton, South Carolina – has paid a former employee $17,760 in lost wages after a U.S. Department of Labor's Wage and Hour Division (WHD) investigation determined the company violated the Family and Medical Leave Act (FMLA).

WHD investigators found Evicore Healthcare failed to allow the Georgia-based employee to return to work at the conclusion of an FMLA-leave period, despite being cleared by a doctor and providing the employer with the physician's return-to-work certification. Evicore Healthcare also failed to maintain some portions of records required by the FMLA.

"Employees must not be retaliated against or prevented from exercising their rights under the Family and Medical Leave Act," said Wage and Hour Division District Director Eric Williams, in Atlanta. "This law allows for critically needed workplace flexibility precisely when employees need it the most. We offer a wide variety of tools to help employers understand their responsibilities and to help them comply."

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
October 1, 2018
Release Number
18-1541-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino

U.S. Department of Labor Investigation Results in Idaho Insulation Installer Paying $272,253 to Resolve Wage Violations

News Release

U.S. Department of Labor Investigation Results in Idaho Insulation Installer Paying $272,253 to Resolve Wage Violations

NAMPA, ID – G Man Insulation LLC – an insulation and drywall company based in Nampa, Idaho – will pay $272,253 in back wages, damages, and penalties after a U.S. Department of Labor Wage and Hour Division (WHD) investigation found violations of the Fair Labor Standards Act (FLSA) affecting 39 employees. 

WHD investigators found G Man Insulation LLC paid workers either by the hour and by the day, and in both cases failed to pay overtime when employees worked more than 40 hours in a workweek. The investigation found the employer paid employees in cash, at straight time, for overtime hours that were not recorded in the employer's payroll records. The company will pay $126,262 in back wages and an equal amount in liquidated damages to resolve the violations. G Man Insulation LLC has also been assessed $19,728 in civil penalties for the violations.

"Ensuring that construction workers are paid the wages they have earned will level playing field in the industry," said Wage and Hour Division District Director Thomas Silva in Portland. "Violations and penalties like these can be avoided. 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 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
September 28, 2018
Release Number
18-1556-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali

Federal Contractor Pays $25,170 in Wages and Benefits Owed After U.S. Department of Labor Investigation

News Release

Federal Contractor Pays $25,170 in Wages and Benefits Owed After U.S. Department of Labor Investigation

VINCENNES, IN – The Knox County Association for Remarkable Citizens Inc. (KCARC) – a federal contractor based in Vincennes, Indiana – has paid 95 current and former employees a total of $25,170 – including $3,755 to 28 workers with disabilities - following an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD).

WHD investigators found KCARC violated the overtime provisions of the Fair Labor Standards Act (FLSA) and requirements under the FLSA's Section 14(c) that sets guidelines for the employment of workers with disabilities.

WHD investigators found:

  • KCARC's cut and sew division improperly calculated the overtime rates of hourly workers. The employer paid workers production bonuses when they met goals, but failed to include those bonuses in the workers' rates when calculating their overtime. This improper calculation resulted in $21,415 in back wages due to 67 employees.
  • KCARC failed to obtain the required number of sources for the wage survey it conducted to determine wages for workers with disabilities under the Section 14(c) program.
  • KCARC failed to complete a task analysis properly when conducting the time studies it used to set commensurate rates for workers with disabilities, and improperly rounded wages.

"The employer's pay practices denied employees the wages they earned," said Wage and Hour Division District Director Patricia Lewis, in Indianapolis. "These violations can easily be avoided, and we encourage all employers to come to us for confidential assistance to understand their responsibilities under the law."

In response to WHD's findings, KCARC agreed to adjust their wage survey collection methods to determine the wages workers under the 14(c) program should receive. KCARC also agreed to use a digital time keeping system and to ensure overtime calculations include production bonuses for all non-exempt employees.

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 Section 14(c), the FLSA, or other federal labor laws, call the Wage and Hour Division's 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
September 28, 2018
Release Number
18-1533-CHI
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number

U.S. Department of Labor Obtains Consent Judgment Ordering Boston Pizza Restaurant to Pay $240,000 in Back Wages, Damages, and Penalties

News Release

U.S. Department of Labor Obtains Consent Judgment Ordering Boston Pizza Restaurant to Pay $240,000 in Back Wages, Damages, and Penalties

BOSTON, MA – The U.S. District Court for the District of Massachusetts has entered a consent judgment requiring Boston-based Village Pizza and Grill and its owner, Klaundjon Totoni, to pay $115,841 in back wages and an equal amount in liquidated damages to 14 employees, plus $8,317 in civil penalties. The judgment follows an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD) that identified violations of the child labor, overtime, minimum wage, and recordkeeping requirements of the Fair Labor Standards Act (FLSA).

Investigators alleged Village Pizza and Grill and Totoni allowed employees under the age of 18 to operate a dough mixer and a meat slicer, in violation of the FLSA's child labor restrictions, and allowed a 15-year-old employee to work more hours than allowed under the FLSA. The FLSA's child labor provisions regulate the numbers of hours employees under 18 can work and prohibits their working in certain jobs and with certain equipment.

In addition, the defendants failed to pay delivery drivers for hours they worked "off-the-clock" cleaning the restaurant or shopping for it, and failed to pay overtime to food preparation and counter workers, cooks, and delivery drivers when they worked more than 40 hours in a work week. They also failed to keep accurate records of employees' wages and work hours, resulting in recordkeeping violations.

The consent judgment requires the defendants to hire a qualified independent consultant to create a system to ensure that their pay and recordkeeping practices comply with the FLSA, conduct quarterly reviews of those practices, and inform WHD of any pay or recordkeeping problems and corrective action.  In addition to the judgment, a consent preliminary injunction and order prohibits the defendants from, among other practices, retaliating against employees, requesting employees to work off the clock or reclassifying employees as independent contractors in a manner that violates the FLSA. The defendants must also allow a WHD representative to inform employees, during their paid working hours, of their FLSA rights in the languages they speak.

"Employers must provide young workers with appropriate and safe employment and pay their employees the full wages that they have earned," said Wage and Hour Division Boston District Director Carlos Matos. "We encourage all employers to contact us with any questions they may have, and to use the wide variety of tools we offer to help them understand their obligations and to comply with the law."

"The U.S. Department of Labor will take appropriate steps to enforce compliance with the law and help ensure a level playing field for law-abiding employers," said Regional Solicitor Maia Fisher in Boston.

WHD's Boston District Office conducted the investigation. Senior Trial Attorney Susan Salzberg of the department's Regional Office of the Solicitor in Boston litigated the case for WHD.

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).

# # #

Acosta v. Klaus Restaurants Inc., d/b/a Village Pizza and Grill, and Klaundjon Totoni, President.
Civil Action Number:  1:17-cv-10767-LTS

Agency
Office of the Solicitor
Date
September 26, 2018
Release Number
18-1464-BOS
Media Contact: Ted Fitzgerald
Media Contact: James C. Lally
Phone Number

U.S. Department of Labor Recovers $429,005 in Back Wages For Georgia Department of Corrections Officers

News Release

U.S. Department of Labor Recovers $429,005 in Back Wages For Georgia Department of Corrections Officers

FORSYTH, GA – The Georgia Department of Corrections has paid $429,005 in back wages to 1,257 employees after a U.S. Department of Labor Wage and Hour Division (WHD) investigation uncovered overtime violations of the Fair Labor Standards Act (FLSA) at more than 40 facilities statewide.

WHD investigators found that the Georgia Department of Corrections failed to pay employees who attended meetings and training for their time spent in those activities. It also failed to pay employees who worked beyond their assigned shifts to ensure coverage when other employees were late for work. In both scenarios, those unpaid hours resulted in overtime violations when employees worked more than 40 hours in a workweek.

Investigators also determined that the Georgia department failed to pay for any overtime hours worked in excess of 12 hours per pay period. WHD also found that the employer paid out any accrued compensatory time only bi-annually in May and December. This practice resulted in overtime violations when corrections employees left the job before either of these dates, and the state failed to pay out any compensatory time accrued since the previous payout.

"Georgia Department of Corrections' employees perform a difficult, dangerous, and indispensable job that is unquestionably vital to the safety of the community," said Wage and Hour Division District Director Eric Williams, in Atlanta, Georgia. "Their receipt of the wages they are entitled to under the law is imperative. We encourage all employers to make use of the many tools we offer to learn about their responsibilities and comply with the law."

For a complete list of the affected facilities, see the chart that follows this news release.

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.

# # #

Corrections Facility

Back Wages

Appling Integrated Treatment Facility

$176.42

Arrendale State Prison

$2,316.24

Augusta State Medical Prison

$21,859.13

Augusta Transitional Center

$364.12

Autry State Prison

$26,632.83

Bainbridge Probation Substance Abuse Treatment Center

$2,711.08

Burruss Correctional Training Center

$1,642.05

Calhoun State Prison

$1,368.30

Class T-81 (Basic Correction Training Class)

$8,627.11

Coastal State Prison

$40,445.30

Coastal Transition Center

$8,667.26

Columbus Transitional Center

$579.97

Dodge State Prison

$15,718.09

Dooly State Prison

$4,135.14

Emanuel Probation Detention Center

$4,104.45

Emanuel Women's Facility

$1,713.40

Georgia Diagnostic and Classification State Prison

$4,137.65

Georgia State Prison

$24,736.74

Hancock State Prison

$1,256.22

Hays State Prison

$10,843.08

Johnson State Prison

$15,810.61

Lee State Prison

$3,944.77

Long State Prison

$4,135.91

Macon State Prison

$435.55

McEver Probation Detention Center

$129.00

Montgomery State Prison

$3,183.00

Paulding Probation Detention Center

$5,665.74

Phillips State Prison

$16,976.20

Pulaski State Prison

$6,538.55

Robert L. Patten Probation Detention Center

$807.00

Rogers State Prison

$20,772.45

Smith State Prison

$75,872.52

Telfair State Prison

$7,235.55

Treutlen Probation Detention Center

$2,007.01

Valdosta State Prison

$18,438.24

Valdosta Transitional Center

$83.87

Walker State Prison

$729.44

Ware State Prison

$40,382.29

Washington State Prison

$2,045.76

West Central Integrated Treatment Facility

$988.89

Whitworth Women's Facility

$1,966.95

Wilcox State Prison

$14,505.17

Women's Probation Detention Center and Smith Transition Center

$4,316.12

Agency
Wage and Hour Division
Date
September 26, 2018
Release Number
18-1478-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino

U.S. Department of Labor Obtains Consent Judgment Ordering Yonkers Care Facility to Pay $385,000 in Back Wages, Damages, and Penalties

News Release

U.S. Department of Labor Obtains Consent Judgment Ordering Yonkers Care Facility to Pay $385,000 in Back Wages, Damages, and Penalties

WHITE PLAINS, NY – The U.S. District Court for the Southern District of New York has entered a consent judgment requiring Hudson View Care Center Inc. - doing business as Regency Extended Care Center - and owner Michael Melnicke to pay $182,500 in back wages and an equal amount in liquidated damages to 81 employees, plus $20,000 in civil penalties. The judgment follows an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD) that identified violations of the Fair Labor Standards Act (FLSA) by the Yonkers extended care facility.

Investigators found the employer failed to pay employees for all the hours they worked. Specifically, certified nursing assistants and licensed practical nurses routinely worked through unpaid meal breaks and nursing staff regularly performed uncompensated work before and after their scheduled shifts. In addition, the employer improperly classified one employee as exempt from the FLSA’s overtime requirements, resulting in uncompensated work hours and unpaid overtime.

“This employer’s practices denied employees payment of all the wages they were legally due,” said WHD Albany District Director Jay Rosenblum. “Such violations are preventable. We encourage employers to reach out to the Wage and Hour Division and to use the tools and resources it provides to learn about their legal responsibilities, avoid violations, and operate in compliance with the law.”

“The resolution ensures workers are protected from FLSA violations, and levels the playing field for employers who play by the rules,” said Regional Solicitor of Labor Jeffrey S. Rogoff in New York.

The judgment also prohibits the business and its owners from withholding the back pay and liquidated damages from employees and from discriminating against any employees who exercise their rights under the FLSA. The Division’s Albany District Office conducted the investigation. Senior Trial Attorney Susan Jacobs of the regional solicitor’s office in New York litigated the matter for the Department.

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 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
Office of the Solicitor
Date
September 25, 2018
Release Number
18-1493-NEW
Media Contact: Ted Fitzgerald
Media Contact: James C. Lally
Phone Number

U.S. Department of Labor Recovers $14.3 Million for Hurricane Recovery Workers in Puerto Rico and the U.S. Virgin Islands

News Release

U.S. Department of Labor Recovers $14.3 Million for Hurricane Recovery Workers in Puerto Rico and the U.S. Virgin Islands

GUAYNABO, P.R. – In the year since hurricanes Irma and Maria struck Puerto Rico and the U.S. Virgin Islands, the U.S. Department of Labor’s Wage and Hour Division (WHD) has recovered $14,337,657 in unpaid wages for 7,761 employees engaged in recovery work in those territories. WHD has also undertaken significant outreach activities to educate employers and employees about compliance with federal wage laws, as part of its ongoing hurricane response efforts.

Following the hurricanes, WHD began a broad-based education and enforcement initiative providing information to employers and workers via social media, and by conducting outreach. Investigations focused on compliance during short-term emergency response operations funded through the Federal Emergency Management Agency (FEMA) to ensure employers were aware of their responsibilities and employees were paid. The investigations examined coverage under and employers’ compliance with the Service Contract Act (SCA), Contract Work Hours and Safety Standards Act (CWHSSA), Davis Bacon and Related Acts (DBRA), and the Fair Labor Standards Act (FLSA).

WHD investigators found violations including non-payment of wages, minimum wage and overtime violations resulting from employees being misclassified as independent contractors, and failure to pay required health and welfare benefits under the SCA.

WHD has conducted more than 60 outreach events; signed memorandums of understanding (MOUs) with Puerto Rico’s Department of Labor and its Office of the Comptroller to better coordinate enforcement and outreach efforts; and hosted a prevailing wage seminar to educate contractors, government agencies, and other stakeholders about compliance with applicable laws.

The Agency will continue its efforts in Fiscal Year 2019 as the focus shifts from disaster response to long-term recovery. This will include outreach to non-federal agencies that will oversee the expenditure of Community Development Block Grants in public works projects.

“The U.S. Department of Labor continues its commitment to the recovery of Puerto Rico and the U.S. Virgin Islands, to ensure that employees performing hurricane recovery work receive the wages and benefits they have legally earned and that employers adhere to the law,” said Wage and Hour Regional Administrator Mark Watson, Jr.

“Our combination of enforcement, education, and outreach provides employers and employees with the information and the tools they need not only to identify and rectify violations but to prevent them from occurring in the first place,” said Wage and Hour Division Caribbean District Director Jose R. Vazquez. “Our efforts ensure employees are paid what they have earned.”

Employees, employers, stakeholders, and other interested parties who wish to obtain compliance information, meet with a Wage and Hour representative, have their questions or concerns addressed, or 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.

Read this news release in Spanish

Agency
Wage and Hour Division
Date
September 25, 2018
Release Number
18-1511-NEW
Media Contact: Ted Fitzgerald
Media Contact: James C. Lally
Phone Number

U.S. Department of Labor Investigation Finds Alabama Company Unlawfully Discharged Employee in Violation of Family and Medical Leave Act

News Release

U.S. Department of Labor Investigation Finds Alabama Company Unlawfully Discharged Employee in Violation of Family and Medical Leave Act

MONTGOMERY, AL – Ozark Safety Services LLC – based in Montgomery, Alabama – has paid a former employee $10,095 in lost wages after a U.S. Department of Labor's Wage and Hour Division (WHD) investigation found the company violated the Family and Medical Leave Act (FMLA).

WHD investigators found Ozark Safety Services LLC discharged the employee for absences that qualified for FMLA-protected leave. Rather than categorizing the absences as allowed and covered under the FMLA, the company labeled them as unauthorized, and took improper disciplinary action.

"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. "This investigation ensures that this employee is not prevented from exercising FMLA rights. We encourage employers to contact us for guidance so they can avoid violations."

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
September 21, 2018
Release Number
18-1504-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number

Alabama Police Department Pays $56,681 in Back Wages After U.S. Department of Labor Investigation Finds Overtime Violations

News Release

Alabama Police Department Pays $56,681 in Back Wages After U.S. Department of Labor Investigation Finds Overtime Violations

OPELIKA, AL – An investigation by the U.S. Department of Labor's Wage and Hour Division (WHD) has resulted in the Opelika, Alabama, Police Department paying $56,681 in back wages to seven officers for violations of overtime and recordkeeping requirements of the Fair Labor Standards Act (FLSA).

The police department paid the back wages after WHD investigators found the employer failed to record and to pay officers for all the hours they worked while performing K-9 care outside of their regularly scheduled shift hours. This practice led to overtime violations when that unpaid work resulted in unpaid overtime. The employer failed to record this time, resulting in a recordkeeping violation under the FLSA.

"Local governments must ensure their pay practices pay employees in compliance with the Fair Labor Standards Act," said Wage and Hour Division District Director Kenneth Stripling, in Birmingham. "The Department of Labor encourages employers to contact the Wage and Hour Division with any questions they may have, and to use the wide variety of tools we offer to help them understand their obligations and 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
September 21, 2018
Release Number
18-1529-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number
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