U.S. Department of Labor Files Lawsuit After Investigation Finds Washington State Farm Discriminated Against American Workers

News Release

U.S. Department of Labor Files Lawsuit After Investigation Finds Washington State Farm Discriminated Against American Workers

SEATTLE, WA – The U.S. Department of Labor has filed suit against a northern Washington berry farm for violating the labor provisions of the H-2A visa program. Sakuma Brothers Farms Inc. and the Washington State Farm Labor Association have been assessed $124,575 in civil money penalties and an additional $9,599 for failing to pay back wages to an eligible U.S. worker who was not hired and to workers who drove the buses that transported workers to the farm.

Investigators with the Department’s Wage and Hour Division found that Sakuma Brothers Farms committed violations of the H-2A visa program. The Department’s Office of the Solicitor (SOL) subsequently filed the lawsuit with the Office of Administrative Law Judges, an administrative trial court for the Department.

The Department alleges Sakuma Brothers Farms gave unlawful preferential treatment to temporary foreign agricultural workers who were brought to the U.S. as part of the H-2A visa program. Sakuma Brothers Farms charged U.S. workers for housing deposits for which it did not charge the H-2A workers, did not provide U.S. workers with household goods that were free for foreign workers, and did not provide U.S. workers with the same transportation to the fields that it provided to the foreign workers. The investigation also found the farm illegally rejected qualified U.S. applicants for the jobs they gave to the H-2A workers. Further, the housing provided to the workers was not maintained to meet the standards required by the Occupational Safety and Health Act.

“This lawsuit reflects the Department’s commitment to strictly enforce our nation’s immigration rules that protect both U.S. and workers part of the visa programs,” said Regional Solicitor of Labor Janet Herold. “While this farm has taken steps to correct its practices, we seek to hold accountable those who unlawfully discriminate against American workers.”   

Since the Department’s investigation and following parallel actions brought by a legal services organization, the farm has changed its employment practices and no longer participates in the H-2A program.

Employees and employers with questions about the H-2A Visa Program or any of the federal wage laws administered by the Wage and Hour 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
February 27, 2018
Release Number
18-0270-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali

U.S. Department of Labor Investigation Results in Medical Transportation Company Paying $154,404 in Back Wages and Damages

News Release

U.S. Department of Labor Investigation Results in Medical Transportation Company Paying $154,404 in Back Wages and Damages

NEWARK, NJ – After a U.S. Department of Labor Wage and Hour Division investigation, AWAB Transport Inc., a Newark medical transportation company, will pay $77,202 in back wages and an equal amount in liquidated damages to 38 employees to resolve violations of the overtime provisions of the Fair Labor Standards Act (FLSA).

The Division’s investigators found AWAB Transport Inc., doing business as AWAB Medical Transport, paid drivers a flat rate per day, without regard to the number of hours that they worked. This resulted in overtime violations when employees worked more than 40 hours in a workweek with no overtime premium. The company also failed to pay overtime to salaried employees who did not qualify for an exemption from overtime requirements as supervisory or administrative employees.

“The Department of Labor is committed to ensuring that employees receive the wages they earn for all the hours they have worked,” said John Warner, Wage and Hour Division District Director in Mountainside. “A resolution like this demonstrates the U.S. Department of Labor’s commitment to protect employees, as well as its determination to level the playing field for law-abiding employers.”

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.

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
February 27, 2018
Release Number
18-0247-NEW
Media Contact: Joanna Hawkins
Media Contact: Leni Fortson

U.S. Department of Labor Investigation Results in Memphis Meat Packing Company Paying $127,830 in Back Wages and Damages to 272 Employees

News Release

U.S. Department of Labor Investigation Results in Memphis Meat Packing Company Paying $127,830 in Back Wages and Damages to 272 Employees

MEMPHIS, TN – After a U.S. Department of Labor Wage and Hour Division investigation, Empire Packing LP, a Memphis meat cutting and packing company, will pay $127,830 in back wages and liquidated damages to 272 employees for violating overtime provisions of the Fair Labor Standards Act (FLSA).

The Division’s investigation determined that Empire Packing LP – doing business as Ledbetter Packing Co. – required each of its employees working in the pork, ground beef, and fillet departments to end their lunch breaks five minutes early and return to work – without pay – to wash their hands, stand in a foot bath, and dress in required uniform items such as hair nets and smocks. The accumulation of this uncompensated time each week resulted in overtime violations for employees who worked more than 40 hours.  

“The U.S. Department of Labor is committed to ensuring that employees receive wages they have legally earned for all hours they have worked,” said Division District Director Nettie Lewis, in Nashville. “The outcome of this investigation serves as a reminder to all employers to review their pay practices to confirm they are complying with the law. The Department will continue to work to level 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 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 WHD.

Agency
Wage and Hour Division
Date
February 22, 2018
Release Number
18-0224-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Michael D'Aquino

U.S. Department of Labor Investigation Results in Tennessee Paving Company Paying $77,467 in Back Wages to 43 Employees

News Release

U.S. Department of Labor Investigation Results in Tennessee Paving Company Paying $77,467 in Back Wages to 43 Employees

ESTILL SPRINGS, TN – After a U.S. Department of Labor Wage and Hour Division investigation, Tinsley Asphalt LLC, a Tennessee paving company, will pay $77,467 in back wages to 43 employees for violating overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

WHD investigators found that the Estill Springs-based company paid drivers their regular hourly rate regardless of how many hours they worked. Overtime violations resulted when these employees worked more than 40 hours in a workweek and received only their regular hourly rate, with no overtime. Tinsley Asphalt LLC failed to maintain or provide records showing the actual hours employees worked.

“The U.S. Department of Labor is committed to ensuring that all employees receive proper wages for all hours they have worked,” said Wage and Hour District Director Nettie Lewis, in Nashville. “The outcome of this investigation serves as a reminder to all employers to review their pay practices to confirm that workers are being paid according to the law. The Department will continue its work to level the playing field for employers who play by the rules, and to provide the tools to help all employers comply.”

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

Agency
Wage and Hour Division
Date
February 22, 2018
Release Number
18-274-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number

U.S. Department of Labor Investigation Results in Maui Apartment Complex Owner Paying $84,136 in Back Wages to 22 Employees

News Release

U.S. Department of Labor Investigation Results in Maui Apartment Complex Owner Paying $84,136 in Back Wages to 22 Employees

KIHEI, HI – After a U.S. Department of Labor Wage and Hour Division investigation, Piilani Gardens LLC, based in Kihei will pay $84,136 in overtime back wages to 22 employees performing maintenance and landscaping activities on Maui to resolve federal overtime pay and recordkeeping violations of the Fair Labor Standards Act (FLSA).

Division investigators determined Piilani Gardens LLC, doing business as Piilani Gardens Apartments, paid employees who resided at the complex straight-time rates when they worked overtime, rather than paying time-and-one half for those hours as the law requires. Additionally, the employer exceeded legal limits to a credit it claimed toward its payroll obligations for providing housing to employees.

“The resolution of this case protects workers and helps level the playing field so that employers that follow the rules do not face unfair competition,” said Division District Director Terence Trotter, in Honolulu. “We urge all employers to use the many tools our agency offers to avoid violations and to comply with the law.”

Workers 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
February 22, 2018
Release Number
18-0273-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali

U.S. Department of Labor Investigation Results in Farm Labor Contractor Paying $168,082 in Penalties to Resolve Housing Condition Violations

News Release

U.S. Department of Labor Investigation Results in Farm Labor Contractor Paying $168,082 in Penalties to Resolve Housing Condition Violations

SOLEDAD, CA – Following an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Future Ag Management Inc. – a Soledad, California-based farm labor contractor – will pay $168,082 in penalties to resolve Migrant and Seasonal Agricultural Worker Protection Act (MSPA) violations that posed a direct and imminent threat to its employees. 

WHD investigators found Future Ag Management Inc. provided housing with illegal and substandard conditions to agricultural workers during lettuce and cauliflower harvests in Monterey County during the summer of 2017. The contractor housed 22 employees illegally in facilities that failed to offer the minimum square footage required per person. The employer also provided only one shower and sink to the 22 employees, fewer than required by law. Restroom facilities were found to be unsanitary and infested with insects. In addition to the dangerous overcrowding and unsanitary conditions, local health authorities also determined that the water provided to the workers by the employer for washing and drinking was unsafe for human consumption.

Upon discovery, the workers were immediately placed in hotels until adequate housing could be secured for the remainder of the harvest season.

“The living conditions we found in this investigation can only be described as inhumane,” said Susana Blanco, Wage and Hour Division District Director in San Francisco. “The Department of Labor remains committed to ensuring the wages and welfare of agricultural workers through our enforcement efforts, and through our ongoing educational efforts for employers in this industry.”

MSPA protects migrant and seasonal agricultural workers by establishing employment standards related to wages, housing, transportation, disclosures, and recordkeeping. For general information on MSPA, please see the Employment Law Guide or the Wage and Hour Division’s MSPA fact sheet.

To operate legally as farm labor contractors, individuals and companies must register with the U.S. Department of Labor. Farm labor contractors that intend to house, transport, or drive a migrant or seasonal agricultural worker must meet special requirements. Application materials and instructions can be found online at https://www.dol.gov/whd/forms/fts_wh530.htm

Employees and employers with questions about MSPA or any of the federal 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 also is available online at http://www.dol.gov/whd/.

Agency
Wage and Hour Division
Date
February 22, 2018
Release Number
18-181-SAN
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali

U.S. Department of Labor Lawsuit Leads to Court Action Prohibiting Boston-Area Pizza Restaurants from Continued Violations and Retaliating Against Employees

News Release

U.S. Department of Labor Lawsuit Leads to Court Action Prohibiting Boston-Area Pizza Restaurants from Continued Violations and Retaliating Against Employees

BOSTON, MA – In connection with a lawsuit brought by the U.S. Department of Labor’s Wage and Hour Division (WHD), the owners of several Boston, Massachusetts, pizza restaurants have agreed to a preliminary order enjoining them from retaliating against employees or former employees, and from instructing employees not to speak with or to lie to U.S. Department of Labor investigators.

The preliminary injunction by the U.S. District Court for the District of Massachusetts prohibits Papantoniadis Pizza Inc.; Athenian Enterprises Inc.; and their owners, Stavros “Steve” Papantoniadis and Polyxeny “Paulina” Papantoniadis, from violating the minimum wage, overtime, and recordkeeping requirements of the Fair Labor Standards Act (FLSA). The Department sought the injunction to halt violations that have continued to occur after it sued the restaurants in March 2017 following an investigation by the WHD.

The Department’s lawsuit alleges that the defendants failed to pay proper overtime to 120 employees by either paying them straight time for overtime hours, or by not paying them at all for hours they worked beyond 40 in a week. The lawsuit further alleges that the employer failed to pay the minimum wage to six employees, and employed a 16- and 17-year-old employee as delivery drivers – a prohibited occupation for minors. In addition, the restaurant owners failed to keep accurate pay records, paid employees in cash off the books, misrepresented employees’ pay rates, and falsified time records.

The injunction requires the defendants to post a statement for employees – in English, Spanish, Portuguese, Arabic, and Greek – detailing the injunction, their rights under the FLSA, and the prohibitions against their employer retaliating against them or coercing them into making false statements. The injunction further allows a Department representative to read the statement aloud to the employees.

“We pursued this action to stop violations that continued despite our lawsuit, to ensure these employees are paid what they have earned, and to level the economic playing field for employers who obey the law,” said Wage and Hour Division District Director Carlos Matos, in Boston.

“This injunction sends a strong message to the public and to employers,” said Merle Hyman, Counsel for Wage and Hour Programs in the office of the Regional Solicitor of Labor. “The U.S. Department of Labor will continue to use all the tools at its disposal to resolve situations where employers deny employees proper pay, falsify records, or retaliate against their employees.”

The Division’s Boston District Office conducted the investigation. Senior Trial Attorney Scott Miller of the Boston Regional Office of the Solicitor is litigating the case for the Division. The defendants consented to the injunction without admitting or denying liability.

For more information about the FLSA or any of the federal wage laws administered by the Division, contact the Division’s toll-free helpline at 866-4US-WAGE (487-9243) or its Boston District Office at 617-624-6700. Information also is available at http://www.dol.gov/whd.  

# # #

Acosta v. Papantoniadis Pizza Inc. d/b/a Stash’s Pizza; Athenian Enterprises Inc., d/b/a Stash’s Pizza; Boston Pizza Co., LLC; Weymouth Co. LLC; Stavros “Steve” Papantoniadis; and Polyxeny “Paulina” Papantoniadis.

Civil Action Number:  1:17-cv-10500-ADB

Agency
Office of the Solicitor
Date
February 16, 2018
Release Number
18-0133-BOS
Media Contact: Ted Fitzgerald
Media Contact: James C. Lally
Phone Number

U.S. Department of Labor Investigation Results in Florida Window Installer Paying $103,608 in Back Wages to 35 Employees

News Release

U.S. Department of Labor Investigation Results in Florida Window Installer Paying $103,608 in Back Wages to 35 Employees

FORT LAUDERDALE, FL – After a U.S. Department of Labor Wage and Hour Division (WHD) investigation, Fort Lauderdale window and door installation contractor ADCO Installers LLC will pay $103,608 in back wages to 35 employees. WHD investigators found the employer violated overtime provisions of the Fair Labor Standards Act (FLSA).

Investigators determined ADCO Installers LLC paid employees straight-time rates, instead of the required time-and-one-half, for hours they worked over 40 in a work week.

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

For more information about the FLSA and other laws enforced by WHD, 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 WHD.

Agency
Wage and Hour Division
Date
February 16, 2018
Release Number
18-0218-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number

U.S. Department of Labor Investigation Results in Miami Aircraft Contractor Paying $54,704 in Back Wages for Overtime Violations

News Release

U.S. Department of Labor Investigation Results in Miami Aircraft Contractor Paying $54,704 in Back Wages for Overtime Violations

MIAMI, FL – After a U.S. Department of Labor Wage and Hour Division (WHD) investigation, Cartagena’s Inc., a Miami-based commercial aircraft paint contractor, will pay $54,704 in back wages to 31 employees for violating overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

WHD investigators found Cartagena’s Inc. failed to include time employees spent traveling between job sites when determining how many hours they had worked.  Doing so created overtime violations when these unpaid hours occurred in workweeks longer than 40 hours. The employer also incorrectly considered workers to be independent contractors rather than employees, which created additional overtime violations when the inaccurate classification resulted in Cartagena’s Inc. paying employees straight-time rates for their overtime hours. The company also failed to keep accurate time records of the hours employees worked, resulting in FLSA recordkeeping violations.

“When employers fail to pay employees the wages they have legally earned, it harms employees and also allows those companies to gain an unfair advantage over their law-abiding competitors,” said Tony Pham, Wage and Hour Division District Director. “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 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 WHD.

Agency
Wage and Hour Division
Date
February 16, 2018
Release Number
18-0229-ATL
Media Contact: Michael D'Aquino
Media Contact: Eric R. Lucero
Phone Number

U.S. Department of Labor Investigation Results in Wendy’s Franchisee Paying $258,249 Penalty After Child Labor Violations at 53 Michigan Restaurants

News Release

U.S. Department of Labor Investigation Results in Wendy’s Franchisee Paying $258,249 Penalty After Child Labor Violations at 53 Michigan Restaurants

GRAND RAPIDS, MI – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), WM Limited Partnership-1998, a Grand Rapids-based franchisee of 53 Wendy’s Restaurants, has paid $258,249 in civil money penalties for child labor violations of the Fair Labor Standards Act (FLSA) at all 53 of its Michigan restaurants.

WHD investigators determined WM Limited Partnership-1998, which does business as Wendy’s of Michigan, permitted three 14- and 15-year-old employees to operate manual deep fryers and 422 minors to work more than 3 hours on school days or more than 8 hours on non-school days in violation of the child labor provisions of the FLSA.

“Employment standards for 14- and 15-year-olds ensure minors gain a positive work experience that does not interfere with their education, health, and well-being,” said Mary O’Rourke, Wage and Hour District Director in Grand Rapids. “Child labor violations can be avoided when employers understand the rules. We encourage employers to contact us for guidance, and use the wide variety of tools we offer to help them comply with the law.”

WM Limited Partnership has agreed to train store managers and frontline supervisors on child labor laws, conduct regular payroll audits to monitor the work hours of minors, improve time-keeping practices, and require minor employees to wear special shirts, hats, or other identifying markers to help management easily identify them at work.

For more information about the FLSA, child labor provisions and other laws enforced by WHD, 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
February 16, 2018
Release Number
18-0254-CHI
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number
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