NEW YORK, NY – Following a U.S. Department of Labor Wage and Hour Division (WHD) investigation and federal court trial, four restaurants operating under the name Gina La Fornarina and their owner Paola Pedrignani have paid $363,284 in back wages and liquidated damages to 109 employees, resolving violations of overtime and recordkeeping requirements of the Fair Labor Standards Act (FLSA).

WHD investigators found that the business failed to aggregate hours for overtime purposes when employees worked at multiple locations or performed two different roles at the same location in the same workweek, with employees receiving separate checks for work in each location. The employer also paid certain kitchen employees and pizza chefs on a salaried basis without paying overtime when they worked more than 40 hours in a workweek.

The U.S. District Court for the Southern District of New York, following a bench trial, ruled that the violations were willful and ordered the defendants to pay the back wages and damages. The restaurants and Pedrignani have paid the full amount as well as court costs and post-judgment interest.

"The U.S. Department of Labor works to ensure that employees receive all the wages they have rightfully earned and that employers can compete on a level playing field," said David An, Wage and Hour Division District Director in New York City. "We encourage employers and employees to review the many tools and resources the Division provides to explain their rights and responsibilities under the law."

"This case reinforces employers' obligations to comply with overtime and recordkeeping requirements and to make certain that employees are paid all the money they are legally owed," said Jeffrey S. Rogoff, Regional Solicitor of Labor in New York. "Employers should review their pay practices and correct any that fail to comply with the law."

WHD's New York City District Office conducted the investigation. Attorney Advisor Micole Allekotte, Trial Attorney Amy Tai and Senior Trial Attorney James Wong of the Office of the Solicitor litigated the case for the Division.

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 http://www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by the Division.

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Manna 2nd Avenue LLC dba Gina La Fornarina, Manna Madison Avenue LLC dba Gina La Fornarina, Manna Amsterdam Avenue LLC dba Gina La Fornarina, Manna Lexington Avenue LLC dba Gina La Fornarina, and Paola Pedrignani, individually and as owner.

Civil Action No. 15-CV-04655-JCF

CHARLESTON, WV – The U.S. District Court for the Southern District of West Virginia has ordered six restaurants in West Virginia and Ohio and their owners to pay $111,024 in back wages and damages to 27 employees after the U.S. Department of Labor's Wage and Hour Division (WHD) found Fair Labor Standards Act (FLSA) violations. The court also imposed a $20,150 civil money penalty.

The court's order covered four Las Trancas restaurants and a Plaza Maya restaurant in West Virginia and one Las Trancas restaurant in Ohio. The defendants were Las Trancas Inc., Las Trancas of Charleston Inc., Las Trancas Buckhannon Inc., Las Trancas of Ripley Inc., Plaza Maya Inc., and Lorena Arellano and Martin Arellano, individually and as corporate officers of the enterprise of Las Trancas Inc.

The consent judgment came in response to a WHD investigation that found the restaurants willfully violated the FLSA's minimum wage, overtime, and recordkeeping requirements during the period May 2014 to October 2017. The restaurants paid some workers only for their scheduled hours, without regard to the number of hours they actually worked, leading to minimum wage and overtime violations.

The restaurants also failed to pay overtime when employees worked more than 40 hours in a workweek, but worked fewer than 80 hours in the two-week pay period. WHD also found servers were paid a salary on days when they filled in for a manager but did not take into consideration the extra hours worked nor the additional money earned on these shifts when calculating the amounts these employees were due for overtime. Failure to track employees' hours accurately resulted in recordkeeping violations.

"This resolution 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 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."

"The agreement amplifies our clear message that the Wage and Hour Division will fully and fairly enforce the law," said Regional Solicitor Oscar L. Hampton III. "The outcome in this case helps to level the competitive playing field for employers that comply with the law."

View the complaint and consent judgment.

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.

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Acosta v. Las Trancas Inc., et. al.
Civil Action Number: 2:18-cv-00936

VIDALIA, GA – The U.S. Department of Labor's Wage and Hour Division (WHD) has revoked the certificate of registration for farm labor contractor J.C. Longoria Castro and debarred him from applying for H-2A certification for three years for violating the Fair Labor Standards Act (FLSA) and the Migrant and Seasonal Agricultural Worker Protection Act (MSPA). WHD also found he violated labor provisions of the H-2A visa program at worksites in Georgia and Wisconsin. In addition to the revocation and debarment, WHD assessed a civil money penalty of $207,522.

Castro – owner of J.C. Castro Harvesting LLC - is an H-2A farm labor contractor who furnished approximately 150 temporary guest agricultural employees to Scott Farms LLC in Brinson, and 63 combined H-2A and equivalent U.S. employees to growers in Wisconsin. In total, WHD found that Castro, based in Vidalia, Georgia, owed $72,166 back wages to 63 employees in Wisconsin and $28,177 in back wages to 122 employees in Georgia.

"The U.S. Department of Labor will enforce the law rigorously when employers knowingly disregard their obligations," said Wayne Kotowski, Wage and Hour Division Regional Administrator in Atlanta. "The Department will use all the tools at its disposal to ensure farm workers are paid legally and treated humanely, and to level the playing field for growers who play by the rules. We strongly encourage all employers to use the multiple tools we provide to help them understand their responsibilities, and to verify that any contractor providing them labor is complying with the law."

Investigators determined Castro violated H-2A requirements by:

• Requiring employees to work earlier than their anticipated period of employment;
• Failing to provide employees copies of their work contracts;
• Failing to provide meals or kitchen facilities;
• Failing to pay  H-2A employees required wages, despite the company's records indicating it had;
• Failing to include the total hours of employment offered and worked on employees' earnings record;
• Failing to provide an itemized list of deductions taken from employees' wages on earnings records; and
• Failing to provide housing that met safety and health standards.

Castro violated MSPA provisions by failing to post an MSPA poster at the worksite, failing to disclose employment conditions such as pay rates and duration of employment to corresponding U.S. employees, and failing to ensure that drivers of vehicles used to transport migrant employees held valid licenses.  Recordkeeping violations were charged under the FLSA.

Before the U.S. Citizenship and Immigration Services can approve an employer's petition for H-2A visa workers, the employer must file an application with the Department of Labor stating that:

• An insufficient number of U.S. employees are able, willing, qualified, and available to work; and
• The employment of non-immigrant, temporary workers will not adversely affect the wages and working conditions of similarly employed U.S. workers.

For more information about the FLSA, MSPA, H-2A and other laws enforced by the Division, contact the toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at https://www.dol.gov/whd.

SAN DIEGO, CA – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), the owners of Adriana Elderly Care Homes Inc. will pay $86,486 to 19 employees to resolve overtime violations of the Fair Labor Standards Act (FLSA). The company – based in Mission Viejo, California – operates four facilities for elderly patients and others with mental disabilities.

WHD investigators found that Adriana Elderly Care Homes Inc. failed to pay caregivers overtime when they worked more than 40 hours in a work week at its residential care facilities. Instead, the employer paid employees flat rates per day, without regard to the number of hours that they worked. This practice resulted in the overtime violations when employees worked beyond 40 hours per week yet were paid only their day rates, without overtime. This practice also led to the company's failure to record the number of hours actually worked by employees, resulting in recordkeeping violations. The companys owners will pay the caregivers $43,243 in overtime back wages and an equal amount in liquidated damages.

"The U.S. Department of Labor encourages all employers to review their pay practices and to take advantage of the many resources we offer to assist them," said Wage and Hour Division Assistant District Director Justin Emerick, in San Diego. "Employers must pay their employees for all of the hours that they work. The resolution of this case demonstrates our commitment to ensuring that workers receive the wages they have legally earned, and that employers compete on a level playing field."

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 to use if you think you may be owed back wages collected by WHD.

DARLINGTON, SC – An investigation by the U.S. Department of Labor's Wage and Hour Division (WHD) has resulted in the Darlington County, South Carolina, Sheriff's Office paying $48,229 in back wages to six deputies for violating overtime and recordkeeping requirements of the Fair Labor Standards Act (FLSA).

The Sheriff's Office paid the back wages after WHD investigators determined the employer failed to record and to pay deputies for all the hours they worked while performing K-9 care, handling, and training duties outside of their regularly scheduled shift hours. This practice resulted in overtime violations when that unpaid time caused overtime hours to be worked, yet remain unpaid. The Sheriff's Office's failure to record this time also resulted in a recordkeeping violation under the FLSA.  

"This case serves as a reminder for local governments to review their pay practices to ensure they are paying employees in compliance with the Fair Labor Standards Act," said Jamie Benefiel, Wage and Hour Division District Director in Columbia. "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). Information is also available at https://www.dol.gov/whd.

ATLANTA, GA – The U.S. Department of Labor’s Wage and Hour Division (WHD) is currently engaged in an education and enforcement initiative to educate industry stakeholders, employers, and employees in the Southeast’s agricultural industry about federal wage laws, and to provide compliance assistance to employers. The initiative includes educational outreach events and investigations of employers.

WHD is working with a variety of stakeholder organizations in Florida, Georgia, Kentucky, Mississippi, North Carolina, South Carolina, and Tennessee to identify the best methods for raising awareness among agricultural industry employers and to provide them the tools they need to comply with applicable laws. Recent outreach has included WHD participation at regional events hosted by the Georgia and Florida Fruit and Vegetable Growers Associations, the S.C. Farmworkers Institute, and GAP Connections. In the months ahead, Division representatives will engage commodity groups, trade associations, agricultural extension agents, H-2A agents, and other government agencies to distribute information describing various programs’ requirements.

In addition to education and awareness, WHD will continue its enforcement efforts to ensure employers and labor contractors meet their legal requirements. Compliance in the Southeast’s agricultural industry remains a concern. Of the 483 investigations of agricultural employers completed in WHD’s southeast region from January 2017 through March 2018, 78 percent found violations and led the Division to identify employers that owed more than $1.4 million in back wages to more than 3,400 workers and assess more than $1.8 million in civil money penalties. The Department has also debarred 13 employers from participating in the H-2A temporary labor certification agricultural program as a result of enforcement actions in the Southeast. 

“Agricultural employers must be aware of their obligations under the law and act accordingly,” said Wage and Hour Division Regional Administrator Wayne Kotowski, in Atlanta. “This education and enforcement initiative seeks to supply employers with the resources they need to comply and level the playing field for law-abiding employers. It is also designed to ensure employers provide farmworkers with safe working conditions and pay them the wages they have legally earned.”

WHD may suspend, revoke, or withhold renewal of farm labor certificates for farm labor contractors who have committed multiple violations under the Migrant Seasonal Protection Act (MSPA) or who fail to comply with a final order requiring the payment of a civil money penalty as a result of a violation. Employers are encouraged to review the MSPA ineligible farm labor contractor and H-2A debarment lists prior to contracting for labor.

The Division offers multiple compliance assistance resources to provide employers the tools they need to comply with the law. The Division encourages employers to contact them to find out about upcoming compliance assistance events, to request information, or to ask specific questions. All calls are confidential.

For more information about MSPA, H-2A and other laws enforced by the Division, contact the toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at https://www.dol.gov/whd.

SEATTLE, WA – Mt. Baker Roofing has paid a total of $63,486 to a former employee after a U.S. Department of Labor Wage and Hour Division (WHD) investigation found that the employer violated requirements of the Family and Medical Leave Act (FMLA) and interfered with the employee’s ability to exercise his rights under that law. Mt. Baker Roofing paid $31,743 for lost wages and increased medical expenses incurred by the employee due to the loss of health benefits upon termination of employment, and also paid the employee an additional $31,743 in liquidated damages.

WHD investigators found that Mt. Baker Roofing – based in Bellingham, Washington – knew of the employee’s serious health condition but failed to offer required FMLA protections. The employer failed to inform the employee that he was eligible for FMLA leave, and failed to designate his time away from work as FMLA-protected. Investigators also found that the employer retaliated against the employee and wrongfully terminated his employment.

“The Wage and Hour Division is committed to protecting employees’ rights under the Family and Medical Leave Act and to educating employers and employees about their rights and responsibilities under the law,” said Jeanette Aranda, Wage and Hour Division District Director in Seattle. “Our enforcement protects law-abiding employers, and helps to ensure workplace flexibility and protections.”

The employee did not seek reinstatement with the employer.

The FMLA entitles eligible employees of covered employers to take unpaid, job-protected leave for specified family and medical reasons with continuation of group health insurance 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 Division, contact its toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at www.dol.gov/whd.

GRANT, MI – Michigan roofing and siding contractor American Classic Construction Inc. will pay $310,000 in back overtime wages and liquidated damages to 74 employees following an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD) in Grand Rapids that found the employer had violated overtime and recordkeeping requirements of the Fair Labor Standards Act (FLSA).  

WHD investigators determined American Classic Construction Inc. and company owners – Nathan Thompson, Jacob Thompson and Leon Thompson – misclassified employees as independent contractors, and subsequently failed to pay them overtime at time-and-one-half their regular rates of pay when they worked beyond 40 hours in a workweek. The company also failed to maintain accurate records of the number of hours employees worked.

“Employers must understand their obligations under the law. Simply because a pay practice may appear to be common in a particular industry does not, in any way, mean that it complies with the law,” said Mary O’Rourke, Wage and Hour Division District Director in Grand Rapids. “We encourage employers to contact the Wage and Hour Division for assistance, and to make use of the many tools we provide to help them understand the law.”

In addition to paying the back wages and damages due, under terms of the consent judgment entered in the U.S. District Court for Western District of Michigan, American Classic Construction Inc. and its owners agreed to an injunction against violating the FLSA’s overtime and record-keeping provisions in the future.

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.

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Court: U.S. District Court for the Western District of Michigan

Civil Action No.: 1:17-cv-00875-ESC

PHILADELPHIA, PA – In an effort to help establish prevailing wage rates, the U.S. Department of Labor’s Wage and Hour Division (WHD) is conducting a survey of heavy construction projects in Virginia to collect data on wages paid to workers, as required under the Davis-Bacon and Related Acts.

The survey includes wages paid on all heavy construction projects that occurred in Virginia between March 1, 2017, and February 28, 2018. The survey is not limited to federally funded construction projects.

“Davis-Bacon prevailing wage rates should reflect the actual wages and fringe benefits paid to construction workers where the work takes place,” said Mark Watson, Wage and Hour Division Regional Administrator. “The U.S. Department of Labor can only accomplish this with strong participation by employers in the Virginia construction industry.”    

Without significant employer participation, wage rates may not reflect actual wages or create incomplete wage determinations, which lead to requests for further classifications. Wage data should be submitted for all projects meeting the criteria, regardless of funding sources.

Notification letters and data collection forms, known as WD-10s, are being sent to interested parties and contractors known to WHD. Data must be postmarked by Nov. 30, 2018, to be included. To complete the survey electronically, visit www.dol.gov/whd/programs/dbra/wd10/index.htm

You do not need to receive a letter to answer the survey. If you would like to participate, or have questions regarding the survey process or completing the WD-10 form, contact William E. Schweizer at 267-687-4031.

SEATTLE, WA – Ecos Homecare Inc., owners of three Washington State residential home-care facilities, will pay $213,461 to 26 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 Ecos Homecare Inc.’s facilities in Brier, Edmonds, and Shoreline failed to pay employees overtime when they worked more than 40 hours in a week. Instead, the employer paid workers flat rates per day, without regard to the number of hours they had actually worked. This practice also resulted in recordkeeping violations under the FLSA when the employer failed to record the actual number of hours employees worked.

“We encourage all employers to review their pay practices and to contact the Wage and Hour Division for assistance. Doing so helps to ensure that all employees are paid the wages they have legally earned and that employers operate on a level playing field,” said Jeanette Aranda, Wage and Hour Division District Director in Seattle.

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 to use if you think you may be owed back wages collected by WHD.