MANVEL, TX – After an investigation by the Department of Labor’s Wage and Hour Division, Redman Communications Inc. will pay $63,132 in back wages and an equal amount in liquidated damages to 53 employees to resolve violations of the overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

Redman Communications violated the overtime provision of the FLSA when it paid its non-exempt drivers straight time wages for overtime hours worked. The company violated recordkeeping provisions by failing to maintain complete and accurate pay and time records of daily hours worked by employees.

“These employees will now receive the wages they rightfully earned,” said Wage and Hour Division Southwest Regional Administrator Betty Campbell. “The Division is committed to proactively educating employers and employees about the requirements of the law. We encourage anyone who wants to learn more to visit our website or to contact their local Wage and Hour Division office today.”

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/.

HOUSTON, TX – After an investigation by the U.S. Department of Labor’s Wage and Hour Division, DC Broadway Inc. – operator of Don Carlos Mexican Restaurants – will pay $97,080 in back wages and an equal amount in liquidated damages to 24 employees to resolve violations of the overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

Investigators found that when employees worked at more than one of the employer’s locations in the same workweek, DC Broadway failed to combine those hours to determine if the employee had worked more than 40 hours total, requiring overtime payment. The employer also violated recordkeeping provisions when it failed to maintain a record of the hours worked by one part-time employee who was paid a flat rate.

“Employers that pay employees less than what they have legally earned short change their workers and gain an unfair advantage over competitors that abide by the law,” said Betty Campbell, Southwest Regional Administrator for the Wage and Hour Division. “We are committed to helping employers understand their obligations, and encourage employers and employees alike to reach out to us for guidance or assistance.”

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/.

SAN FRANCISCO, CA – Following a U.S. Department of Labor investigation, Laura and Carole Nobis – owners of Nobis Care Homes – have paid $194,275 in back wages to 13 caregivers and cooks to resolve Fair Labor Standards Act (FLSA) violations.  

Investigators with the Department’s Wage and Hour Division found that Laura and Carole Nobis failed to pay employees for hours they worked beyond 40 in a work week. The Department’s investigation found that the employees regularly worked an average of 60 hours per week, but payroll records showed workers were paid only for 40 hours.

“This investigation demonstrates our determination to ensure that employees receive their rightfully earned wages,” said the Department’s Wage and Hour Division District Director Susana Blanco, in San Francisco.  “We are also committed to protecting workers and leveling the playing field to prevent employers that violate the law from gaining an unfair competitive advantage over those that play by the rules.”

The San Mateo County District Attorney’s Office opened a separate criminal investigation of Nobis Care Homes for worker’s compensation fraud associated with the company’s failure to accurately report the number of employees working. The criminal case resulted in Nobis paying additional penalties to the California Employment Development Department and other state agencies.

Nobis Care Homes is a residential care company serving elderly clients. The company operates one home in South San Francisco, one in San Francisco, and three in San Bruno.

The FLSA requires that employees receive one-and-one-half times their regular rates of pay when they work more than 40 hours in a work week and that employers maintain adequate and accurate records of employees’ wages and work hours.

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/.

LANSDOWNE, PA – Following a U.S. Department of Labor’s Wage and Hour Division investigation, a U.S. District Court judge has issued a temporary restraining order prohibiting Lansdowne-based Central Laundry Inc. from transporting, shipping, or delivering goods across state lines that were produced by employees not paid legally required federal minimum wage and overtime rates. A preliminary injunction hearing is scheduled for today. 

Central Laundry Inc. does business as Olympic Linen and Liberty Laundry.

Division investigators determined that from Sept. 8, 2017, through at least Jan. 13, 2018, the company bounced payroll checks and paid some employees in cash at rates below those required by the Fair Labor Standards Act (FLSA). The Department of Labor’s filing requesting a temporary restraining order also included allegations that the employer threatened employees with a gun when they complained about not being paid, and that the company employed minors under the age of 16 in tasks prohibited by law.

“This rapid enforcement action will ensure that repeat offenders like Central Laundry are quickly held accountable for their lack of compliance, and will help level the playing field for other employers in the industry who pay their employees properly,” said Regional Solicitor Oscar L. Hampton III.

In addition to prohibiting the interstate shipment of goods produced by labor paid in violation of the law, the temporary restraining order also prohibits Central Laundry Inc. and its owner, George Rengepes, and business operator James Rengepes from violating the FLSA’s minimum wage and overtime provisions.

The Department is currently litigating a separate action against the company, in which the court determined that the defendants willfully failed to pay laundry workers the proper minimum wage and overtime premium.

Central Laundry provides laundry service for hotel and restaurant operators in Pennsylvania, New York, New Jersey, and Delaware.

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. Employees must also maintain accurate time and payroll records. 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    

ORLANDO, FL – A U.S. Department of Labor Wage and Hour Division investigation found Orlando-based resort Vistana Management Inc. routinely changed payroll records to avoid paying employees overtime, a violation of the Fair Labor Standards Act (FLSA), resulting in $372,183 in back wages owed to 275 employees. In addition to collecting back wages, the Division assessed $41,368 in penalties against Vistana for repeat violations to the FLSA.

The investigation determined that the management of Vistana Management Inc. – doing business as Sheraton Vistana Resort – failed to record and pay accurately for all the hours that employees worked. Specifically, the employer altered time records to record fewer hours in the payroll than employees had actually worked. Managers requested that employees sign documents authorizing them to edit their clock-in and clock-out times, and to modify their timecards to reflect that employees had not worked through their lunch breaks when they had.

“The resolution of this case puts these wages into the hands of those who earned them, and demonstrates how the Department of Labor’s enforcement protects workers and levels the playing field for law-abiding employers,” said District Director for the Wage and Hour Division Daniel White, in Jacksonville. “We encourage employers to contact the Wage and Hour Division in person, by phone, or online for assistance and to learn more about their responsibilities under 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.

MANCHESTER, NH – The U.S. Department of Labor has reached settlements with Bread and Roses Bakery Inc. of Ogunquit, Maine, after the Department found the company violated terms of the H-2B nonimmigrant visa program under the Immigration and Nationality Act and the minimum wage, overtime, recordkeeping, and child labor requirements of the Fair Labor Standards Act (FLSA). Under the agreements, Bread and Roses will pay $73,115 in back wages and damages to employees, and $21,052 in penalties.

The H-2B program permits employers to hire nonimmigrant foreign workers to perform temporary nonagricultural labor or services in the United States. A Wage and Hour Division investigation found that Bread and Roses Bakery failed to comply with the H-2B program’s requirement to recruit American workers before hiring foreign workers when it provided inaccurate pay rates in advertising for counter attendants. The employer advertised rates of $8.79-to-$9.09 per hour, but actually paid the H-2B employees $10-to-$13 per hour. U.S. workers may have applied for these jobs had accurate rates been provided.

Bread and Roses Bakery also employed H-2B workers in an unapproved job classification when it hired 21 H-2B employees to work as counter attendants, but actually employed many of them as bakers. The employer also failed to pay the legally required prevailing wage to nine employees.

The investigation also found that the bakery violated the FLSA when it paid 45 employees straight time for overtime. Minimum wage violations resulted when the employer failed to reimburse 10 H-2B employees for visa expenses. Additionally, Bread and Roses employed one minor in violation of the hours’ restrictions applicable to 14- and 15-year-old employees, and failed to maintain an accurate record of the hours worked by employees.

“This case highlights our commitment to protecting U.S. workers by ensuring that employers provide them the best opportunity for employment before using nonimmigrant visa programs,” said the Department’s Wage and Hour Division Northern New England District Director Daniel Cronin.

“This agreement also demonstrates our commitment to ensuring that all workers are paid what they have earned and leveling the playing field for law-abiding employers,” said Merle Hyman, Counsel for Wage and Hour Programs in the office of the Regional Solicitor of Labor. 

The Division’s Northern New England District Office conducted the investigation. Attorney Sheila Gholkar of the Boston Regional Office of the Solicitor litigated the case for the Division.

For more information about the H-2B program, contact the Division’s toll-free helpline at 866-4US-WAGE (487-9243) or its Northern New England District Office at 603-666-7716. Information also is available at http://www.dol.gov/whd.   

SAN DIEGO, CA – The U.S. Department of Labor has reached an agreement with the owner of 10 Orange County residential care facilities to pay 72 employees a total of $173,539 for unpaid overtime.

Investigators with the Department’s Wage and Hour Division found that the owners of Verona Court – operator of residential elder care facilities in Mission Hills and Laguna Niguel – failed to pay employees for time spent working through lunch breaks and attending mandatory training. The employer also paid straight time for overtime hours instead of the federally required time-and-one-half for hours employees worked beyond 40 in a workweek. Additionally, investigators found recordkeeping violations involving inaccurate and incomplete timesheets and payroll records and a lack of records of cash payments.

“Thanks to this settlement, dozens of employees will be paid the wages they rightfully earned,” said Wage and Hour Division Director Rodolfo Cortez, in San Diego. “Working in tandem with our outreach efforts, enforcement like this helps to level the playing field for employers so that no company gains a competitive advantage in the workplace by failing to pay their employees properly.”

Verona Court operates six facilities incorporated as Mission Elder Care Inc. and four facilities incorporated as Laguna Elder Care Inc.

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/.

SAN FRANCISCO, CA – Three Santa Rosa area restaurants have reached an agreement with the U.S. Department of Labor to pay 28 employees $147,954 in back wages, and an equal amount in liquidated damages, to resolve federal wage violations. The employer will also pay $15,115 in penalties.

Investigators with the Department’s Wage and Hour Division in San Francisco found that El Charro Casita, Inc., and its owner Antonio Gonzalez willfully violated the Fair Labor Standards Act’s (FLSA) minimum wage, overtime, and record-keeping provisions at its restaurants in Santa Rosa, Rohnert Park, Guerneville.

Investigators found that the employer paid employees straight-time rates, in cash, for overtime hours worked, rather than time-and-one-half of their regular rates for hours they worked beyond 40 in a workweek, as required by the FLSA. The employer also created and maintained a false set of timecards and paychecks in an effort to conceal the nonpayment of overtime wages due under federal law. Additionally, investigators found that the restaurant’s Santa Rosa location employed a minor under the legal working age of 14, in violation of FLSA’s child labor provisions.

“The resolution of this investigation ensures that these employees will receive the wages they have earned,” said Wage and Hour Division Director Susana Blanco, in San Francisco. “This agreement helps us to level the playing field so that employers who fail to comply with the law do not gain a competitive advantage over those who do. We encourage all employers to use the multiple resources we offer to avoid violations.”

As part of the agreement, El Charro Casita will modernize its payroll and scheduling system, provide all employees with FLSA training, and designate a third-party monitor to conduct a review of the company’s compliance with the FLSA every six months for at least two years. The employer has also acknowledged that retaliating against or threatening any employee for cooperating with or participating in a Wage and Hour Division investigation is strictly prohibited, and may subject them to further action.

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/.

DETROIT, MI – The U.S. Department of Labor and a Detroit security company have reached an agreement to resolve overtime violations of the Fair Labor Standards Act (FLSA), including payment of $33,534 in back wages and an equal amount in liquidated damages – totaling $67,068– owed to 25 security guards.

The Department’s Wage and Hour Division found Eagle Security Services failed to comply with the FLSA’s overtime and recording-keeping provisions.

An investigation determined that Eagle Security Services created a separate company, Eagle Security Solutions, from which to pay employees for any hours they worked beyond 40 per week.  That company issued separate checks for the overtime hours, at straight time rates, rather than paying for the overtime hours at time-and-one-half as the law requires.

“Creating a separate company to avoid paying overtime violates the law and is an attempt by the employer to gain an unfair advantage over competitors who play by the rules,” said Wage and Hour Division District Director Timolin Mitchell, in Detroit. “We encourage companies to reach out to us for guidance.”

Under terms of the agreement, Eagle Security Services will implement a training program for current and new managers regarding FLSA compliance, and conduct quarterly reviews of payroll and time records, in addition to paying the back wages and liquidated damages. 

Workers and employers with questions about the FLSA and all 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/.

MARIETTA, GA – A residential concrete design and installation company will pay $179,314 in back wages to 37 employees after a U.S. Department of Labor investigation found Marietta-based TCB Grading Inc. violated the overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

Wage and Hour Division investigators found that TCB Grading Inc. paid employees straight-time, instead of the required time-and-one-half, for hours they worked beyond 40 in a workweek. The employer also failed to maintain accurate time and payroll records.

“The resolution of this case puts these wages into the hands of those who earned them, and demonstrates how our enforcement levels the playing field for law-abiding employers,” said Wage and Hour Division District Director Eric Williams. “We encourage employers to contact the Wage and Hour Division by phone, online, or to attend any of our outreach events for assistance and to learn more about their responsibilities.”

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/.