SEATTLE – A federal court has ordered a producer of Christmas wreaths and seasonal greens for major retailers — including Costco, Publix, Target, Trader Joe’s, Walmart and Wegmans — to pay $1.85 million in back wages and damages to nearly 700 workers after the U.S. Department of Labor found the employer failed to pay required overtime wages and violated migrant and seasonal workers’ rights.

The department’s Wage and Hour Division determined that Continental Floral Greens denied hundreds of workers their required overtime pay for hours over 40 in a workweek, a violation of the Fair Labor Standards Act. Division investigators also found the Shelton company submitted, under penalty of perjury, fraudulent information on job orders about wages, housing and transportation to bring workers to the U.S., a violation of the H-2B worker program. Continental Floral Greens employs temporary workers from El Salvador, Guatemala and Mexico.

The federal H-2B program permits businesses to employ temporary visa workers and provides protections for similarly employed U.S. workers. 

The division’s investigation also identified violations of the Migrant and Seasonal Agricultural Worker Protection Act related to wages, housing, transportation, disclosures and recordkeeping. Specifically, Continental Floral Greens failed to inform workers of employment conditions, furnish complete wage statements, pay wages when due, ensure safe and healthy housing, or provide temporary workers with safe transportation. 

The investigation was opened after a van transporting 14 migrant workers crashed in November 2022 in Cowlitz County, and four Salvadoran workers suffered serious injuries and were taken to a Longview hospital. Investigators determined the Continental Floral Greens’ employee driving the van lacked required certification to operate the vehicle. After the accident, the Washington State Patrol charged the driver for negligent driving. Investigators also discovered that several workers were not wearing seatbelts at the time of the accident.

On March 26, 2024, the U.S. District Court for the Western District of Washington in Tacoma entered a consent judgment and order requiring the employer to pay $888,000 in back wages and $888,000 in liquidated damages to hundreds of vulnerable workers due to the FLSA violations. The court also ordered the Continental Floral Greens to pay workers $74,000 in additional back wages to the workers due to MSPA violations, and $40,000 in penalties to the department.  

“The Wage and Hour Division is committed to holding employers accountable so that vulnerable workers come home safe and properly compensated at the end of every day,” explained Wage and Hour Division District Director Thomas Silva in Seattle. “We will continue using every tool at our disposal to ensure U.S. workers and H-2B workers receive the highest protections to which they are entitled, including rights to overtime pay.” 

“Federal law requires employers hiring workers from outside the U.S. on temporary non-agricultural visas to ensure safe working conditions and pay the legal prevailing wage, including overtime. Employers must also accurately represent the terms and conditions of those jobs so that U.S. workers have a full and fair opportunity to work those jobs. Continental Floral failed on all counts,” added Regional Solicitor of Labor Marc Pilotin in San Francisco. 

Continental Floral Greens operates eight farms, production and distribution facilities, and sales and management offices in California, Florida, North Carolina, Oregon and Washington. The company ships products to major retailers nationwide and internationally.

Learn more about the Wage and Hour Division, including a search tool to use if you think you may be owed back wages collected by the division. Employers and workers can call division staff confidentially with questions, regardless of where they are from, and the division can speak with callers in more than 200 languages through the agency’s toll-free helpline at 866-4US-WAGE (487-9243). Download the agency’s new, free Timesheet App for Android and iOS devices, available in English and Spanish, to help track work hours and pay.

Julie A. Su, Acting Secretary of Labor, U.S. Department of Labor vs Continental Floral LLC et al.

Case No. 3:24-cv-05220

OKLAHOMA CITY – While mortuary workers are called on to provide after-life care for the deceased and compassion for the bereaved, a federal investigation has found the operators of an Oklahoma City mortuary were less than caring when it came to paying dozens of workers overtime wages they rightfully earned.

A U.S. Department of Labor Wage and Hour Division investigation has recovered $231,390 in back wages and an equal amount in damages for 66 employees of Stillwell Limited Inc. — operator of Alpha & Omega Mortuary Service and Crematory — after learning the employer paid them straight-time rates for all hours worked, instead of paying time-and-one-half their regular rate-of-pay for hours over 40 in a workweek. A review of company records showed many of the affected workers earned low wages and often worked more than 50 hours per week.

The division determined the employer paid employees on a semi-monthly basis and failed to keep accurate records, as required by federal law.

“By denying their employees all of their hard-earned wages, Alpha and Omega Mortuary Service and Crematory violated the law and harmed the people on whom the company depends to work long hours to provide an important service to the community in return for low wages,” said Wage and Hour Division District Director Michael Speer in Oklahoma City. “We are committed to protecting workers and providing clear and confidential compliance assistance to any employee or employer with questions.”

Based in Oklahoma City, Alpha & Omega Mortuary Service and Crematory was incorporated in 2011.

Learn more about the Wage and Hour Division, including a search tool to use if you think you may be owed back wages collected by the division. Workers and employers can contact the division confidentially at its toll-free number, 1-866-4-US-WAGE (487-9243). The division protects workers regardless of immigration status and can communicate with workers in more than 200 languages.

Download the agency’s new Timesheet App, which is available in English and Spanish for Android and Apple devices, to ensure hours and pay are accurate.

DEDEDO, Guam – The U.S. Department of Labor encourages construction industry employers in Guam to participate in a survey to help establish accurate prevailing wage rates and reduce the need for contractors to seek additional labor classifications.

 Administered by the department’s Wage and Hour Division, the survey seeks information about wages and fringe benefits paid to construction workers on residential, building, heavy and highway construction projects in Guam between May 1, 2023, and April 30, 2024. This survey is not limited to federally funded construction projects and its completion is required by the Davis-Bacon and Related Acts.

The data collection period begins May 1, 2024, and ends on Aug. 1, 2024. 

Federal law directs the department to set the prevailing wage rates that reflect the actual wages and fringe benefits paid to construction workers where the work takes place. The department depends on participation by contractors and other interested parties to ensure prevailing wages and wage determinations are as accurate as possible and that employers are supplied with the best possible guidance. 

The division encourages employers to complete the survey online. It will send notification letters to interested parties and contractors of which the agency knows. Contractors and other interested parties may participate even if they have not received a survey participation letter.

If you have questions about the survey process and forms, please contact the Davis-Bacon Survey Center at 866-236-2773 or Davisbaconinfo@dol.gov. 

People interested in getting more information about this survey can also register to attend one of two free, online briefings held on May 7 and May 9, that will describe the survey process and offer instructions for completing the survey. Learn more about the surveys.

Employer:                             Krafty Draft Brew Pub LLC

                                                269 Charter Oak Road 

                                                Lexington, SC 29072

Investigation findings: U.S. Department of Labor Wage and Hour Division investigators found the Lexington pub and restaurant distributed earned tips with traditionally non-tipped employees, such as dishwashers and cooks and, by doing so, operated an invalid tip pool. The division learned that the employer used earned tips to cover most of the servers’ gross pay and failed to pay a cash wage of at least $2.13 per hour directly to tipped employees as required. These actions violated the Fair Labor Standards Act, as did the employer’s failure to keep accurate record of tips earned and hours worked by employees. 

Back wages recovered:         $125,819 in back wages for 23 workers

Quote: “Pay practices a business chooses to use must meet legal requirements. In this case, we found that — while allowing some employees to take home more than federal minimum wage — Krafty Draft Brew Pub ignored its obligation to pay their share of its workers’ income and passed that responsibility to its customers,” explained Wage and Hour Division District Director Jamie Benefiel in Columbia, South Carolina. “Employers unsure of their legal obligations should contact their local Wage and Hour Division office for assistance. That’s the best way to ensure that they pay employees all of their rightful wages.”

Background: Employers can contact the Wage and Hour Division at its toll-free number, 1-866-4-US-WAGE. Learn more about the Wage and Hour Division, including its search tool to learn if you are owed back wages collected by the division. Workers and employers alike can help ensure hours worked and pay are accurate by downloading the department’s Android and iPhone Timesheet App available for free in English or Spanish. 

Employer:   Chili Thai Inc. in Puyallup

TNBMEELAP Inc. in Silverdale

Meelapwa Inc. in Tacoma 

TSA Meelap Inc. in Tacoma

Meelap Inc. in University Place

Investigation findings: A U.S. Department of Labor Wage and Hour Division investigation found five Washington restaurants operated as Chili Thai — under unified operations and common control — did not pay overtime rates for hours over 40 in a workweek in violation of the Fair Labor Standards Act. The employer paid on a semi-monthly basis and most employees received overtime for hours worked over 88 hours in each pay period instead of after 40 hours, as the law requires. The employer took action to ensure future compliance, changed to bi-weekly pay periods and started to pay overtime for hours beyond 40 per week.

Back Wages Recovered:  $64,183 in overtime wages for 51 employees

                                                  $64,183 in liquidated damages for 51 employees

                                                  $9,163 in civil money penalties for the reckless nature of the violations

Quote: “Chili Thai violated federal overtime regulations by underpaying employees working long hours to provide for themselves and their families,” said Wage and Hour Division District Director Thomas Silva in Seattle. “We urge employers to review their practices and avoid costly consequences for violating the law.”

Context: Workers can use the division’s Workers Owed Wages search tool to see if they are owed back wages collected by the division. Employers and workers can contact the Wage and Hour Division for help and assistance at its toll-free number, 1-866-4-US-WAGE. Learn more about the Wage and Hour Division, including the agency’s restaurants compliance assistance toolkit and an overview about the FLSA protections for restaurant workers. Workers and employers alike can help ensure hours worked and pay are accurate by downloading the department’s Android and IOS Timesheet App for free in English or Spanish.  

Employer:                       Williams Plumbing & Associates Inc.

                                                243 Battleground Road

                                                Cowpens, SC 29330

Investigation findings: U.S. Department of Labor Wage and Hour Division investigators found the Cowpens plumbing company paid employees a time-and-a-half rate for only the first five hours over 40 in a workweek. After that, the employer reverted to paying employees their regular rate of pay for all hours after 45, a violation of the Fair Labor Standards Act. The employer also violated the FLSA by deducting $.25 per minute for every minute employees arrived late for work and failed to keep accurate records of the hours worked and driving time for employees. 

Back wages and liquidated damages recovered: $25,364 in back wages and liquidated damages for 17 workers.                       

Quote: “Workers’ wages are protected by law. Employers must ensure that their workers are paid the wages they earned in accordance with the law. They cannot defy their legal requirements by incorporating random, internal rules that penalize workers,” explained Wage and Hour Division District Director Jamie Benefiel in Columbia, South Carolina. “We encourage employers to contact us for guidance on how to comply with laws related to their employment practices and to use our comprehensive online educational resources to prevent violations similar to those found in this case.

Background: Employers can contact the Wage and Hour Division at its toll-free number, 1-866-4-US-WAGE. Learn more about the Wage and Hour Division, including its search tool to learn if you are owed back wages collected by the division. Workers and employers alike can help ensure hours worked and pay are accurate by downloading the department’s Android and iPhone Timesheet App available for free in English or Spanish.  

Employer name:                      Future Inc.

Investigation sites:               10216 Oak Dr

                                                        Newalla, OK 74857

Investigation findings: The U.S. Department of Labor’s Wage and Hour Division found Future Inc. – a dirt work contractor serving commercial, industrial and residential clients – misclassified 31 construction workers employed to complete major projects in a multi-state area as independent contractors. Future Inc. violated federal law by failing to pay the required time and one-half its employees’ hourly wages for hours worked over 40 per workweek. 

In 2023, the division found more than $35.5 million in owed wages for construction industry workers. On Jan. 10, 2024, the department published a final rule, effective March 11, revising the department’s guidance on how to analyze who is an employee or independent contractor under the Fair Labor Standards Act. Learn more about the final rule.

Back wages recovered:  $49,940 in owed wages and $49,940 in liquidated damages to 31 workers.                

Quote: “Misclassifying employees as independent contractors denies workers minimum wage, overtime pay and other protections, and can lead to unfair competition among industry employers,” said Wage and Hour District Director Michael Speer in Oklahoma City. “Misclassification can also deny workers employment benefits and protections such as Social Security, unemployment insurance, workers’ compensation and family and medical leave. Employers must ensure their hiring practices align with the law to avoid costly violations.”

Lea en Español

Employers:    GoldStar Amusements Inc., owner Michael Featherston, Fairbault, Minnesota

                         Lee’s Concessions Inc., owner Connie Featherston, Fairbault, Minnesota          

Action:           U.S. Department of Labor Administrative Law Judge decision

Court:             U.S. Department of Labor, Office of Administrative Law Judges, Cincinnati, Ohio

Court action: U.S. Department of Labor Administrative Law Judge Steven Bell issued a decision on March 13, 2024, affirming the findings of a Wage and Hour Division investigation that determined — during their 2016 and 2017 seasons — carnival operators GoldStar Amusements Inc. and Lee’s Concessions Inc. did not pay prevailing wages, pay inbound and outbound transportation costs, and keep accurate earning statements for foreign workers employed under the H-2B visa program. The program permits employers to hire nonimmigrant workers to perform temporary nonagricultural work on a one-time, seasonal, peak load or intermittent basis.

The decision follows hearings held in January and July 2023 before Administrative Law Judge Steven Bell and affirmed the division’s violations.

Wages and damages recovered:      $146,243 to 55 employees

Penalties assessed:     $63,584 in civil money penalties. 

Quote: “The H-2B visa program includes very specific terms regarding wages, transportation and other requirements, which are clearly defined for employers when they apply to hire foreign workers,” said Wage and Hour District Director Kristin Tout in Minneapolis. “Employers such as these are legally responsible for knowing and complying with federal wage laws.”

Background: Owned by Michael Featherston, GoldStar Amusements provides amusement rides at carnivals and fairs while Lee’s Concessions — owned by Michael’s spouse, Connie Featherston — provides food and games at carnivals and fairs. Both companies share principal offices in Faribault. 

Learn more about the Wage and Hour Division, a search tool to use if you think you may be owed back wages collected by the division and how to file an online complaint. For confidential compliance assistance, employees and employers can call the agency’s toll-free helpline at 866-4US-WAGE (487-9243), regardless of where they are from.

Download the agency’s new Timesheet App for iOS and Android devices – also available in Spanish –to ensure hours and pay are accurate.

Administrator, Wage and Hour Division, United States Department of Labor V. GoldStar Amusements Inc., Lee’s Concessions Inc.

Case Nos. 2021-Tne-00027; 2021-Tne-00028

WASHINGTON – The U.S. Department of Labor has recovered more than $560,000 after its investigation found an operator of group homes deprived 34 workers in the District of Columbia-area of their full wages and fringe benefits.

The department’s Wage and Hour Division determined Lamont Homes Inc. violated the Fair Labor Standards Act and the McNamara-O’Hara Service Contract Act. The district’s Department of Behavioral Health contracted the company to provide residences for people needing mental and behavioral support. Federal Service Contract Act worker protections, including the payment of prevailing wages and fringe benefits, apply to most service contracts entered into by the District of Columbia.

Division investigators found Lamont Homes violated federal law by failing to do the following:

• Classify workers properly based on the duties they performed.
• Pay the prevailing wage rate required by the SCA wage determination.
• Compensate workers for all hours worked, including weekend hours.
• Pay fringe benefits, including health and welfare, vacation and holiday pay.
• Pay proper overtime rates for hours over 40 in a workweek.
• Maintain records of actual hours worked.

“Under the Service Contract Act, employers like Lamont Homes that provide services for the District of Columbia must pay workers prevailing wages and fringe benefits, protections that help ensure that government contracts build the middle class,” said Wage and Hour Administrator Jessica Looman. “Violations like those found in this case can be prevented when employers meet their contractual obligations.”

In addition to paying back wages and fringe benefits, Lamont Homes agreed to implement accurate record-keeping of hours worked, pay required wages in the future, not deduct lodging expenses from employees’ pay and receive training on FLSA and SCA compliance.

Learn more about the FLSA and the SCA. Workers can use the division’s Workers Owed Wages search tool to check if they are owed back wages collected by the division. Download the agency’s new Timesheet App, available for iOS and Android devices in English and Spanish, to ensure hours and pay are accurate. Employers and workers can contact the division confidentially at its toll-free number, 1-866-4-US-WAGE (487-9243). The division can speak with callers in more than 200 languages, regardless of where a caller is from.

Learn more about the Wage and Hour Division.

NEW ORLEANS – Among the nation’s lowest paid workers, home healthcare employees are asked to work long hours routinely to provide help to people in need. Too often, these workers are shortchanged by employers’ unfair pay practices as was the case for 118 employees of two North Louisiana home healthcare providers, Twin City Home Care Services in Monroe and Divine Services LLC in Minden. 

Investigators with the U.S. Department of Labor’s Wage and Hour Division determined that Twin City Home Care Services and Divine Services paid affected employees straight-time rates for all hours worked, including for hours over 40 in a workweek when an overtime rate applies.

The division recovered $84,586 in back wages and liquidated damages for 98 employees of Twin City Home Care Services, and $56,067 in back wages and liquidated damages for 20 employees of Divine Services.

“Employees eligible for overtime pay must receive time and one-half their regular rate when they work more than 40 hours in a workweek,” said Wage and Hour Division District Director Troy Mouton in New Orleans. “Employers must calculate the hours worked and regular rate correctly to ensure that workers are properly compensated. Employers with questions about how to make these determinations should contact the Wage and Hour Division for free assistance to help them avoid costly consequences.” 

Learn more about the Wage and Hour Division, including a search tool to use if you think you may be owed back wages collected by the division. The division protects workers regardless of where they are from and can communicate with workers and employers confidentially in more than 200 languages at 1-866-4-US-WAGE (487-9243).

Download the agency’s new Timesheet App, which is available in English and Spanish for Android and Apple devices, to ensure hours and pay are accurate.