U.S. Department of Labor Provides Tools to Ensure American Workers Are Protected and Employers Are Equipped to Comply with Wage Laws

News Release

U.S. Department of Labor Provides Tools to Ensure American Workers Are Protected and Employers Are Equipped to Comply with Wage Laws

WASHINGTON, DC – The U.S. Department of Labor’s Wage and Hour Division has developed a series of helpful instructional videos that provide valuable assistance to employers and further ensure compliance with the Fair Labor Standards Act (FLSA) to the benefit of the American workforce.

As part of the Wage and Hour Division’s ongoing commitment to protect working Americans, the Division will help employers understand their legal obligations under the FLSA by launching a new series of brief, plain-language videos that explain employer responsibilities under the FLSA. The videos eliminate legalese and provide a valuable resource for employers who simply want to understand what the law requires.

The Division consulted with a variety of stakeholders during the production of the FLSA tutorials, and much of their feedback was incorporated to ensure the videos are user-friendly, straightforward, and in a language and format that is engaging and easy to understand.

“To help employees receive their compensation and help employers comply with the law, we are modernizing the tools we offer to help them along the path,” said Acting Wage and Hour Division Administrator Bryan Jarrett.

Please visit the webpage to check out the videos, along with many other compliance assistance tools that are offered.

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; the site includes a search tool to learn whether you may be owed back wages collected by the Division.

Agency
Wage and Hour Division
Date
March 27, 2018
Release Number
18-0488-NAT
Media Contact: Michael Trupo
Phone Number

U.S. Department of Labor Investigation Results in West Virginia Employer Paying $119,040 to Employees with Disabilities to Resolve Violations

News Release

U.S. Department of Labor Investigation Results in West Virginia Employer Paying $119,040 to Employees with Disabilities to Resolve Violations

ELKINS, WV – After a U.S. Department of Labor Wage and Hour Division investigation, a federal jury has entered a verdict against Randolph County Sheltered Workshop Inc. - doing business as Seneca Designs - and ordered the Elkins nonprofit to pay $119,040 in back wages to 34 employees. Entered in the U.S District Court for the Northern District of West Virginia-Elkins Division, the investigation found that the organization violated the minimum wage provisions of the Fair Labor Standards Act (FLSA).

Division investigators found violations that resulted from the employer’s failure to obtain a certificate authorizing their payment of sub-minimum wages to employees with disabilities. Absent that certificate, employees were legally due the full federal minimum wage. The Agency also found that the employer failed to post information about rights for employees with disabilities paid at a sub-minimum wage, as the law requires.

“We are pleased with the jury’s ruling and hope that the back wages received by these workers will have a positive impact on their lives,” said Catherine Glencoe, Assistant District Director of the Wage and Hour Division in Charleston.

“The ruling in this case will positively impact compliance and will help to level the playing field for employers that follow the law and pay their employees properly,” said Oscar L. Hampton III, Regional Solicitor in Philadelphia.

Employees at Randolph County Sheltered Workshop assemble fishing lures and lure packages for Leland’s Lures in Searcy, Arkansas.

The FLSA requires that covered, non-exempt employees be paid at least the federal minimum wage of $7.25 per hour for all hours worked, plus time and one-half their regular rates for hours worked beyond 40 per week.

Section 14(c) of the FLSA authorizes employers, after receiving a certificate from the Wage and Hour Division, to pay subminimum wages - wages less than the federal minimum wage -  to employees with disabilities when the disability impairs their productivity for the work being performed.

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
March 21, 2018
Release Number
18-381-PHI
Media Contact: Leni Fortson
Media Contact: Joanna Hawkins

U.S. Department of Labor Investigation Results in New Jersey Farm Paying $79,007 in Back Wages and Penalties

News Release

U.S. Department of Labor Investigation Results in New Jersey Farm Paying $79,007 in Back Wages and Penalties

RINGOES, NJ - After a U.S. Department of Labor Wage and Hour Division investigation, Mavrode Farms LLC—a Ringoes, New Jersey, wholesale florist supplier—has paid $76,374 to 13 employees to resolve violations of the Fair Labor Standards Act (FLSA). The Division also assessed civil money penalties totaling $2,633 for the violations.

Division investigators determined that the company and its owner Michael Mavrode violated the overtime, minimum wage, and recordkeeping provisions of the FLSA and the housing, wage, and disclosure provisions of the Migrant and Seasonal Agricultural Worker Protection Act (MSPA). 

The investigation determined that the employer violated MSPA requirements when it failed to provide workers with copies of work contracts, failed to pay promised wages, and failed to ensure housing safety and health for migrant workers. Mavrode violated the FLSA when he failed to pay overtime to farm employees performing non-agricultural activities. The employer paid those employees on a piece-rate basis, without regard to the number of hours they actually worked. This practice resulted in overtime violations when employees worked more than 40 hours in a work week without additional overtime pay. Mavrode also failed to maintain time records as required by the FLSA. 

“As a result of this investigation, Mavrode Farms’ employees will receive the wages they are owed and will be provided with safe housing,” said Charlene Rachor, Wage and Hour Division Southern New Jersey District Office Director. “Employers can avoid violations by reaching out to us for assistance to ensure they are in compliance with the law. We offer a wide variety of tools for employers, including many specific to the requirements for those in agricultural industries.”

The FLSA requires that covered, non-exempt employees be paid at least the federal minimum wage of $7.25 per hour for all hours worked, plus time-and-one-half their regular rates for hours worked beyond 40 per week. The MSPA establishes employment standards related to wages, housing, transportation, disclosures, and recordkeeping. 

For more information about the FLSA and other laws enforced by the Division, contact its toll-free helpline at 866-4US-WAGE (487-9243) or visit the Division’s web site. It also offers a search tool which allows users to determine if you are owed back wages collected by the Division.

Agency
Wage and Hour Division
Date
March 20, 2018
Release Number
18-383-PHI
Media Contact: Leni Fortson
Media Contact: Joanna Hawkins

U.S. Department of Labor Investigation Results in Florida-Based Hotel Builder Paying $173,320 to 38 Hawaiian Employees

News Release

U.S. Department of Labor Investigation Results in Florida-Based Hotel Builder Paying $173,320 to 38 Hawaiian Employees

HONOLULU, HI – Neptune Construction Group Inc., a Florida-based construction company, has agreed to pay 38 employees working at various Hawaii locations $173,320 after a U.S. Department of Labor Wage and Hour Division investigation found Fair Labor Standards Act (FLSA) overtime pay violations.

Operating with offices in Kailua Kona and in Palm Harbor, Florida, Neptune Construction serves the entire U.S. and specializes in remodeling and renovation of hotel properties.

Wage and Hour Division investigators found that Neptune Construction Group Inc. paid 19 employees straight time for their overtime hours after inaccurately considering them to be independent contractors instead of employees. The company also misapplied an exemption from the law’s overtime requirements intended to apply to salaried managers to another 19 employees, resulting in additional overtime violations.

“Employees depend on receiving the wages they have rightfully earned,” said Terrence Trotter, Wage and Hour Division District Director in Honolulu. “Wage violations can be avoided when employers understand the rules. We encourage employers to contact us for guidance so they can avoid violations. The Department of Labor offers many tools to help employers comply.”

Employees and employers with questions about the FLSA or any of the federal wage laws administered by the Division should call the agency’s toll-free helpline at 866-4US-WAGE (487-9243). All calls are confidential.

More information is available online at http://www.dol.gov/whd/.

Agency
Wage and Hour Division
Date
March 20, 2018
Release Number
18-329-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali

U.S. Department of Labor Investigation Results in Alabama Manufacturer Paying $28,307 in Back Wages and Damages

News Release

U.S. Department of Labor Investigation Results in Alabama Manufacturer Paying $28,307 in Back Wages and Damages

FOLEY, AL – After a U.S. Department of Labor Wage and Hour Division investigation, the U.S. District Court for the Southern District of Alabama has ordered Riviera Stoneworks Inc., Hood’s Discount Home Center of Foley Inc., and Michael J. Hood, the operator of both companies, to pay $28,307 in back wages and liquidated damages to 28 employees for violating the overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

Division investigators found that Riviera Stoneworks failed to pay employees required overtime when they worked more than 40 hours in a workweek. The Division determined that when employees worked overtime, the employer paid them with two separate checks, both at straight time. One check - from Riviera Stoneworks’ payroll account - covered the first 40 hours, while any hours worked beyond 40 were paid in a separate check, at straight-time from the Hood’s Discount Center payroll account. None of the Riviera Stoneworks employees ever worked at Hood’s Discount Center. Additionally, the employer violated recordkeeping requirements when it failed to display required FLSA posters in conspicuous locations for employees’ reference.

“The U.S. Department of Labor is committed to ensuring that employees receive the wages they have legally earned for all the hours they have worked,” said Kenneth Stripling, Wage and Hour Division District Director in Birmingham. “We are determined to ensure that employers who fail to comply with the law do not gain an unfair competitive advantage over those who do.”

The employer has paid the back wages and damages. Riviera Stoneworks manufactures pavers and architectural pre-cast products distributed at Hood’s Discount Home Center locations in Foley and Gulfport, Mississippi.

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.

Agency
Wage and Hour Division
Date
March 20, 2018
Release Number
18-0399-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number

U.S. Department of Labor Investigation Results in U.S. District Court Ordering Tennessee Contractor to Pay $188,244 in Back Wages and Damages

News Release

U.S. Department of Labor Investigation Results in U.S. District Court Ordering Tennessee Contractor to Pay $188,244 in Back Wages and Damages

MEMPHIS, TN – After an investigation by U.S. Department of Labor’s Wage and Hour Division, the U.S. District Court for the Western District of Tennessee has ordered Capital Construction Inc. and its owner, Justin B. Herter, to pay $188,244 in back wages and liquidated damages to 37 employees for violating the overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

Division investigators found that Capital Construction Inc. - a general contractor based in Collierville - failed to pay employees required overtime for hours they worked beyond 40 in a work week. The employer incorrectly considered some workers to be independent contractors rather than employees, creating overtime violations when the inaccurate classification resulted in Capital Construction Inc. paying the employees straight-time rates instead of the time-and-one-half required for overtime. The employer paid some employees with a company check or direct deposit for their first 40 hours each work week and then paid overtime hours in cash, at straight-time. Investigators also found the employer paid other employees completely in cash, off the books, for all of their hours and denied overtime. In addition, the company failed to maintain accurate payroll records, and failed to post FLSA posters for employees’ reference, as required.

“The U.S. Department of Labor is committed to ensuring that employees receive the wages they have legally earned for all the hours they have worked,” said Nettie Lewis, Wage and Hour Division District Director in Nashville. “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.”

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 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
March 20, 2018
Release Number
18-0410-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number

U.S. Department of Labor Investigation Results in Alabama Security Contractor Paying $1,184,722 in Back Wages and Benefits to 236 Employees

News Release

U.S. Department of Labor Investigation Results in Alabama Security Contractor Paying $1,184,722 in Back Wages and Benefits to 236 Employees

HUNTSVILLE, AL – After a U.S. Department of Labor Wage and Hour Division investigation, a Huntsville, Alabama, security company and two subcontractors will pay $1,184,722 in back wages to 236 employees after a U.S. Department of Labor investigation found the companies violated provisions of the Fair Labor Standards Act (FLSA), Service Contract Act (SCA), and the Contract Work Hours and Safety Standards Act (CWHSSA).

Division investigators determined that ManTech International Corp. and its subcontractors, Systems Development Corp. and Bevilacqua Research Corp., violated the SCA by paying employees rates and benefits less than those required by law. In addition, the companies violated the CWHSSA by not paying the employees time and one half their regular rates of pay for hours they worked beyond 40 in a workweek.

Investigators also found that Systems Development and Bevilacqua Research both violated the FLSA by failing to record any hours employees worked beyond 40 per workweek as overtime hours in the payroll records.

“No contractor should gain an economic advantage by paying workers below the wages and fringe benefits required on a prevailing wage contract,” said Kenneth Stripling, Wage and Hour Division District Director in Birmingham. “Not only does this practice undercut what the workers involved are legally owed, it results in unfair competition for contractors who play by the rules.”

The SCA requires contractors and subcontractors performing services on prime contracts in excess of $2,500 to pay service employees in various classes no less than the wage rates and fringe benefits found prevailing in the locality, or the rates, including prospective increases, contained in a predecessor contractor’s collective bargaining agreement.

For more information about the FLSA, SCA, CWHSSA, and other laws enforced by the Division, contact the Division’s toll-free helpline at 866-4US-WAGE (487-9243) or visit the Division’s web site. The Division also offers a search tool which allows users to determine if you are owed back wages collected by the Division.

Agency
Wage and Hour Division
Date
March 12, 2018
Release Number
18-343-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino

U.S. Department of Labor Provides Hurricane-Related Outreach To U.S. Virgin Islands on Wage Compliance, Enforcement

News Release

U.S. Department of Labor Provides Hurricane-Related Outreach To U.S. Virgin Islands on Wage Compliance, Enforcement

GUAYNABO, PR – The U.S. Department of Labor’s Wage and Hour Division will be on St. Croix and St. Thomas through March 21 to investigate wage issues and provide compliance assistance related to work done in connection with recovery efforts following Hurricanes Maria and Irma.

The Wage and Hour Division will investigate compliance with the McNamara-O’Hara Service Contract Act (SCA), the Davis-Bacon and Related Acts (DBRA), and the Fair Labor Standards Act (FLSA), including potential violations involving unpaid work hours, missed payroll, and/or failure to provide required wages and fringe benefits under federal service and construction contracts.

“The Department of Labor will ensure that employees performing hurricane recovery work receive the wages and benefits they have legally earned,” said Jose R. Vazquez, Wage and Hour Division Caribbean District Director. “The Department provides numerous tools to help employers understand their legal responsibilities, and Department officials are available to answer any questions they may have.”

Employees and employers who would like compliance information, who wish to meet with the representative, have questions or concerns, or wish to file a complaint, should contact the Division’s Caribbean District Office at 787-775-1947 or 1-866-4-USWAGE, or by email.   All contacts are confidential.

For more information about the SCA 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
March 12, 2018
Release Number
18-339-NEW
Media Contact: Ted Fitzgerald
Media Contact: James C. Lally
Phone Number

U.S. Department of Labor Investigation Results in Marietta Hotel Company Paying $73,732 in Back Wages and Damages

News Release

U.S. Department of Labor Investigation Results in Marietta Hotel Company Paying $73,732 in Back Wages and Damages

ATLANTA, GA – After a U.S. Department of Labor Wage and Hour Division investigation, two Marietta-based hotels have paid $73,732 in back wages and liquidated damages to 14 employees for violating minimum wage, overtime, and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

The Division’s investigators determined that Swami Hospitality Corp. Super 8 Hotel - doing business as Super 8 Hotel - and Swami I Hospitality Corp. Ramada Inn - doing business as Limited Suites - paid housekeepers a flat amount per each room cleaned without regard to how many hours they worked. This practice resulted in minimum wage violations when that flat amount yielded less than the federal minimum wage of $7.25 per hour, and in overtime violations when these employees worked more than 40 hours per week with no additional overtime pay.

Division investigators also found additional overtime violations when the employer paid front desk staff straight time for overtime hours and, in one case, paid an employee only for 40 hours each week regardless of how many additional hours the employee worked.  

“Employers must understand their obligations and responsibilities 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 Jeffrey Genkos, Wage and Hour Division District Director in Atlanta. “The Department of Labor encourages all employers to make use of the many tools the Department provides to help them understand and comply with the law, and to call us for assistance.”

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.

Agency
Wage and Hour Division
Date
March 12, 2018
Release Number
18-314-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino

U.S. Department of Labor Conducting Wage Survey in Georgia Of Workers Engaged in Building and Heavy Construction Projects

News Release

U.S. Department of Labor Conducting Wage Survey in Georgia Of Workers Engaged in Building and Heavy Construction Projects

ATLANTA, GA – The U.S. Department of Labor’s Wage and Hour Division is conducting a survey of wages paid to workers in 74 metropolitan Georgia counties on all active building and heavy construction projects to establish prevailing wage rates required under the Davis-Bacon and Related Acts (DBRA).

The Division seeks data from employers and interested parties on wages paid to building and heavy construction workers from Nov. 1, 2016, through Oct. 31, 2017. This survey is not limited to federally funded construction projects. See a map of counties included in the survey.

“Davis-Bacon prevailing wage rates should reflect the actual wages and fringe benefits paid to construction workers where the work takes place,” said Wayne Kotowski, Wage and Hour Division Regional Administrator. “The U.S. Department of Labor can accomplish this only with strong participation by the construction industry communities in these 74 Georgia counties.”    

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

Notification letters and “WD-10” data collection forms are being sent to interested parties and contractors known to the Wage and Hour Division by mid-March, yet all that meet the criteria are invited to participate. Data must be postmarked by Sept. 30, 2018, to be included in the survey. Complete the survey electronically.

For questions regarding the survey process, including how to participate, contact Kim Chu, Supervisory Wage Analyst for the Southeast Wage Determinations Survey Branch of the Wage and Hour Division, at (678) 237-0488.

Agency
Wage and Hour Division
Date
March 8, 2018
Release Number
18-304-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number
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