ANAHEIM, CA – Two hotels in Anaheim, California, have paid $59,142 in back wages and liquidated damages to 87 employees after a U.S. Department of Labor Wage and Hour Division (WHD) investigation found overtime and recordkeeping violations of the Fair Labor Standards Act (FLSA).

WHD investigators found that New Century Enterprises LLC – doing business as Hotel Indigo Anaheim – and Union Investments USA LLC – doing business as Ramada Plaza Anaheim – failed to pay employees overtime for hours worked beyond 40 hours per week during some pay periods. Investigators also found the hotels failed to pay housekeepers for work they performed off-the-clock. The investigation found these employees punched out at the end of their scheduled shifts, but returned to work to complete unfinished tasks such as cleaning remaining guest rooms, stocking their cleaning carts, and emptying their trash bins. This practice resulted in additional overtime violations. Investigators also cited the hotels for failing to maintain accurate payroll records.

“These two investigations help ensure that workers receive their full earnings, and that employers compete on a fair-and-level playing field,” said Wage and Hour Division District Director Rodolfo Cortez, in San Diego. “Employers must pay employees for all hours that they work, and in compliance with the law. We encourage all employers to make use of the many tools our agency offers to explain their responsibilities, and to help them avoid violations.”

These two hotels operated under the same management and payroll services.

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.

INDIANAPOLIS, IN – Sixteen employees of The Journey restaurant – based in Indianapolis, Indiana – will receive $45,828 in back wages following an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD) that disclosed overtime and recordkeeping violations of the Fair Labor Standards Act (FLSA).

WHD investigators determined the “back of the house” employees at The Journey restaurant worked an average of 63 hours per week for flat salaries without regard to the number of hours they had worked. This practice resulted in overtime violations when these employees worked more than 40 hours in a workweek and the employer failed to pay overtime. The employer’s failure to record the number of hours employees worked also resulted in recordkeeping violations.

The employees worked as line cooks, dishwashers, and in food preparation.

“This investigation represents the U.S. Department of Labor’s commitment to ensuring employees receive all the wages they have rightfully earned, and that employers compete on a level playing field,” said Wage and Hour Division District Director Patricia Lewis in Indianapolis. “Employers can avoid wage violations by contacting us for assistance to ensure they are in compliance 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 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.

ROCK ISLAND, TN – Hillis Group LLC, based in Rock Island, Tennessee, will pay $89,204 in back wages and liquidated damages to 42 employees after a U.S. Department of Labor Wage and Hour Division (WHD) investigation found that the asphalt and trucking company violated overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

WHD investigators found Hillis Group LLC paid drivers flat rates per day regardless of the number of hours they worked resulting in overtime violations when the drivers worked more than 40 hours in a workweek with no additional pay. The company also failed to keep record of employees’ work start and finish times resulting in violations.

“Employers have an obligation to pay employees in accordance with the law for all the hours they have worked. Failing to do so creates a hardship for the workers, and places other employers at a competitive disadvantage,” said Wage and Hour Division District Director Nettie Lewis, in Nashville, Tennessee. “We encourage 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.”

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.

ELKHART, IN – Recreational vehicle manufacturer RV Factory LLC – based in Elkhart, Indiana – will pay $55,484 in overtime back wages to 157 former and current employees following an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD) that found multiple violations of the overtime and recordkeeping requirements of the Fair Labor Standards Act (FLSA).

WHD determined RV Factory LLC – which operates as The RV Factory – ­­failed to pay employees overtime at time-and-one-half their regular rates of pay when they worked beyond 40 hours in a workweek. Instead, the company paid a flat daily rate to some employees regardless of the number of hours they worked. When overtime was paid, RV Factory LLC failed to include workers’ production bonuses when determining those rates, resulting in payment based on rates lower than those required by law. A recordkeeping violation was also found when the employer failed to track the number of hours worked by one non-exempt salaried employee.

“This investigation is an example of the Department of Labor’s commitment to ensuring employees receive all the wages they have rightfully earned, and that employers compete on a level playing field,” said Wage and Hour Division District Director Patricia Lewis in Indianapolis. “Employers have an obligation to understand and to comply with the labor laws applicable to their business. We encourage employers to contact the Wage and Hour Division for assistance to ensure they understand their obligations, and to make use of the many tools we provide to help them.”

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.

INDIANAPOLIS, IN – JLBS Construction, a construction company based in Indianapolis, Indiana, will pay $98,236 in overtime back wages to 112 employees, following an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD) that found the employer had violated overtime requirements of the Fair Labor Standards Act (FLSA).  

WHD investigators determined JLBS Construction ­­– which operates as J.L. Building Solutions ­­– failed to pay employees overtime at time-and-one-half their regular rates when they worked beyond 40 hours in a work week. The company instead paid straight time rates regardless of the number of hours employees had worked.

“Often times our investigators find that employers believe they are correctly compensating employees based on false information and pay practices in certain industries that are illegal. In this case, the company took immediate action to fix its pay practices,” said Wage and Hour Division District Director Patricia Lewis in Indianapolis. “We encourage employers to contact the Wage and Hour Division for assistance to ensure they understand their obligations under the law, and to make use of the many tools we provide to help them.”

In addition to paying the back wages, J.L. Building Solutions hired a human resources officer to ensure compliance with wage laws in the future.

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.

GUAYNABO, PR– Ceres Environmental Services Inc. – a contractor based in San Juan, Puerto Rico – which installed temporary roofing as part of hurricane recovery efforts in Puerto Rico, has paid $500,000 in back wages to 995 employees to resolve violations of the overtime requirements of the Fair Labor Standards Act (FLSA).

Investigators from the U.S. Department of Labor’s Wage and Hour Division (WHD) found that field employees, including blue roof installers, carpenters, drivers, and laborers, often worked 12 or more hours per day, six to seven days per week, yet the employer failed to pay them overtime for the hours they worked beyond 40 in a week. Additional overtime violations resulted when Ceres failed to record and pay for time employees spent working before and after their scheduled shifts, and when they worked through their meal breaks.

Ceres Environmental Services Inc. also misapplied an overtime exemption to several job categories including clerical office positions, paying those workers flat salaries without regard to the number of hours they worked. This practice resulted in overtime violations when those employees worked more than 40 hours per week yet were not paid overtime. The employer also failed to reimburse workers who purchased steel-toed boots that were required as personal protective equipment.

“Employees performing vital disaster relief work must be paid the wages they have legally earned for all the hours that they work,” said Wage and Hour Division Caribbean District Director José R. Vazquez. “The resolution of this case demonstrates our commitment to those workers, and to providing employers the tools they need to comply with the law. Our work levels the playing field for employers who play by the rules.”

Ceres Environmental Services Inc. performed the Blue Roof/Blue Tarp Prime Contract installing temporary roofing in Puerto Rico from October 1, 2017 to March 31, 2018.

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.

Read this news release in Spanish.

MANASSAS, VA - A direct mail company has paid $355,672 in back wages and an equal amount in liquidated damages to 73 employees to resolve violations of overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA) following an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD).

WHD investigators found that RPG Enterprise LLC - doing business as Planet Direct Mail - misclassified production employees as independent contractors, and failed to pay them overtime when employees worked more than 40 hours in a workweek. The Manassas, Virginia, company also failed to maintain records required by law. The willful nature of the violations led to an additional assessment of $32,099 in penalties, which the company has paid.

 “Planet Direct Mail paid some employees the proper wages with overtime, while paying the misclassified independent contractors straight-time for the hours they worked in excess of 40 per week,” said Acting Baltimore Wage and Hour District Director John DuMont. “We are committed to holding employers accountable when they attempt to circumvent 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. 

Training on Federal Construction and Service Contracts Set for August 27-28

SAN JUAN, PR – The U.S. Department of Labor’s Wage and Hour Division will offer a comprehensive compliance seminar for federal contractors, unions, and workers to provide information on the rules governing federal prevailing wage requirements.

The free training will be held August 27-28, 2018, at the Departamento del Trabajo y Recursos Humanos de Puerto Rico, 505 Edificio, Prudencio Rivera Martinez Ave. Muñoz Rivera Hato Rey, Puerto Rico in Salón Santiago Iglesias Patín.

The Department of Labor is committed to ensuring that all stakeholders, contractors, contracting officials, unions, workers, and other interested parties understand the wage and fringe benefit requirements that apply to federal and federally assisted contracts under the Davis-Bacon and Related Acts, McNamara-O’Hara Service Contract Act, and the Contract Work Hours and Safety Standards Act.

The training is a key component of the Wage and Hour Division’s ongoing effort to foster good jobs through increased awareness and enhanced compliance with federal prevailing wage requirements.

Check-in for the training will be from 8:00 a.m. to 9:00 a.m. on Monday, August 27, 2018, with the program running from 9:00 a.m. to 5:30 p.m. on Monday and Tuesday.

While seminar attendance is free, preregistration is required. Registration can be completed through the online registration link at Prevailing Wage Seminar- Puerto Rico Registration.

For more information on the Davis-Bacon Act, Service Contract Act and other federal wage laws related to government contracts administered by the Wage and Hour Division, call the department’s toll-free helpline at 866-4US-WAGE (487-9243) or visit the agency’s website at http://dol.gov/whd.

Read this news release en español

CENTRAL ISLIP, NY – The U.S. District Court for the Eastern District of New York has entered a consent judgment requiring Paul Dill Associates Inc. and its two owners, Paul Joseph Dill and Paul Jeremy Dill - doing business as Bi County Auto Body - to pay $185,000 in back wages and an equal amount in liquidated damages to 49 employees, plus $30,000 in civil penalties. The judgment follows an investigation by the Department of Labor’s Wage and Hour Division that identified violations of the Fair Labor Standards Act (FLSA) by the Smithtown, New York, auto body repair business.

Investigators from WHD’s Long Island District Office found that between July 2014 and April 2016, the employer violated the FLSA’s overtime requirements when they paid 49 employees straight time rates, in cash, for all the hours they worked beyond 40 in a workweek. The FLSA requires overtime for those hours at one and one-half times workers’ regular rates of pay.

The employer also deducted one hour per day from employees’ time for a meal break even though employees were often unable to take those breaks uninterrupted by work. Those unpaid hours resulted in additional overtime violations. Recordkeeping violations were cited when the employer willfully failed to record any hours that employees worked beyond 40 per workweek, in an attempt to conceal overtime.

“The employer engaged in an unlawful practice to deny employees the overtime wages they had legally earned and to conceal their failure to pay for those hours,” said Irv Miljoner, the Wage and Hour Division’s district director in Long Island. “The resolution of this case demonstrates our commitment to those workers, and to leveling the playing field for employers who play by the rules.”

“This case shows that the U.S. Department of Labor will take appropriate steps to ensure compliance with the Fair Labor Standards Act and to rectify wage violations so employees are not denied their justly earned pay,” said Jeffrey S. Rogoff, the department’s regional Solicitor of Labor in New York. “Employers can avoid wage violations by reaching out to the Wage and Hour Division for assistance to ensure they are in compliance with the law.”

The judgment also prohibits the business and its owners from soliciting or accepting the return of the back wages from the employees and from discriminating against any employees who exercise their rights under the FLSA. The Division’s Long Island District Office conducted the investigation. Trial Attorney Stacy Goldberg 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 resolvethose 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(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.

Acosta v. Paul Dill Associates, Inc. d/b/a Bi County Auto Body; Paul Joseph Dill; and Paul Jeremy Dill.

Civil Action No. 2:17-cv-04324-JS-SIL

SAN FRANCISCO, CA – Thai Satay Restaurant has paid $313,742 in back wages and liquidated damages to 20 employees at its South San Francisco and San Mateo locations 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 that the employer violated minimum wage requirements when it paid some employees flat salaries insufficient to cover all of the hours that they worked at the federal minimum wage of $7.25 per hour. The investigation disclosed overtime violations when the employer paid either flat salaries or day rates without regard to the number of hours the employees actually worked. When these employees worked more than 40 hours per week with no additional payment, overtime violations occurred. The company’s failure to maintain records of the number of hours worked by employees resulted 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 Susana Blanco, in San Francisco. “This case highlights our commitment to leveling the playing field for employers and to ensuring that employees receive their rightfully earned wages.”

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.