US Department of Labor recovers $876K in back wages, damages for workers denied overtime pay by Norfolk home care employer

News Release

US Department of Labor recovers $876K in back wages, damages for workers denied overtime pay by Norfolk home care employer

NORFOLK, VA – The U.S. Department of Labor’s Wage and Hour Division has recovered nearly $900,000 in back wages and damages after its investigation found a Norfolk home care employer denied 108 workers their hard-earned overtime pay. 

The division’s investigation found that Advantage Home Care LLC and co-owners Dondra Nichols and Phillip Simons failed to pay required overtime rates for all hours worked over 40 in a workweek and did not maintain accurate records of hours worked. The employers paid $438,277 in back wages and an equal amount in liquidated damages for these violations of the Fair Labor Standards Act

“Workers in the low-wage home care industry must stretch their wages as far as they can go to make ends meet, making Advantage Home Care’s wage theft especially harmful,” said Wage and Hour Division District Director Roberto Melendez in Richmond, Virginia. “We encourage other home care employers to evaluate their own pay practices to ensure they are in compliance with the law.”

Advantage Home Care LLC provides nurses and home health aides for in-home care services in the Hampton Roads area.

The FLSA requires that most employees in the U.S. be paid at least the federal minimum wage for all hours worked and overtime pay at not less than time and one-half the regular rate of pay for all hours worked over 40 in a workweek. It also prohibits employers from firing or taking adverse action against employees for exercising their rights.

Learn more about protections for domestic service workers under the FLSA. A self-assessment tool for workers is also available to help them determine if they are entitled to federal minimum wage and overtime pay.

For more information about the FLSA and other laws the division enforces, contact its toll-free helpline at 866-4US-WAGE (487-9243). 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 can call the division confidentially with questions or concerns – regardless of where they are from – and the department can speak with callers in more than 200 languages. Help ensure hours worked and pay are accurate by downloading the department’s Android and iOS Timesheet App for free in English or Spanish. 

Agency
Wage and Hour Division
Date
February 22, 2024
Release Number
24-326-PHI
Media Contact: Joanna Hawkins
Media Contact: Leni Fortson
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US Department of Labor, Pennsylvania Office of the Attorney General form partnership to enhance enforcement, strengthen coordination

News Brief

US Department of Labor, Pennsylvania Office of the Attorney General form partnership to enhance enforcement, strengthen coordination

WHO:         U.S. Department of Labor’s Wage and Hour Division 

                      Office of the Attorney General of the Commonwealth of Pennsylvania

WHAT: five-year memorandum of understanding signed on February 21 that establishes a formal partnership with these agencies.

BACKGROUND: The MOU maximizes and improves the enforcement of the laws administered by both agencies and provides greater coordination between them.

The agencies formed this partnership to more effectively and efficiently communicate and cooperate on areas of common interest, including sharing training materials, conducting joint investigations and sharing other information as appropriate.

QUOTE: “The Wage and Hour Division recognizes the value of enhancing our collaborative relationship with the Pennsylvania Office of the Attorney General to maximize the enforcement of the laws administered by the two agencies,” said Wage and Hour Division Regional Administrator Mark Watson in Philadelphia. “Our partnership reflects a joint commitment to improve our effectiveness in serving workers and ensuring employers are compliant with federal and state laws.” 

Learn more about the Wage and Hour Division. Workers can call the Wage and Hour Division confidentially with questions – regardless of where they are from – and the department can speak with callers in more than 200 languages.

Agency
Wage and Hour Division
Date
February 22, 2024
Release Number
24-299-PHI
Media Contact: Joanna Hawkins
Media Contact: Leni Fortson
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US Department of Labor recovers $97K in back wages for 26 workers after North Miami Beach deli failed to pay overtime at required rates

News Brief

US Department of Labor recovers $97K in back wages for 26 workers after North Miami Beach deli failed to pay overtime at required rates

Employer:     Matryoshka LLC, operating as Matryoshka Deli Food

                       18100 Collins Ave. 

                        North Miami Beach, FL 33160

 

Investigation findings: U.S. Department of Labor Wage and Hour Division investigators found the retail deli market paid employees straight-time rates for all hours worked and failed to pay the additional half-time rate they earned when they exceeded 40 hours in a workweek, in violation of the Fair Labor Standards Act. The employer noted the overtime payments as bonuses on payroll records and paid them at straight-time rates. In addition, Matryoshka Deli violated FLSA recordkeeping requirements by not recording the appropriate overtime pay and not keeping an accurate record of hours worked for all employees.

Back wages and liquidated damages recovered: The division recovered $97,635 in back wages and liquidated damages for 26 workers.                                               

Quote: “Failure to pay overtime correctly continues to be one of the most common violations we encounter. Masking overtime hours and payments as bonuses does not forgive the employer’s obligation to pay employees the wages owed – at the correct rate,” said Acting Wage and Hour Division District Director Michael Gannet in Miami. “Employers unsure of their legal obligations under the law should contact their local Wage and Hour Division office for assistance. That’s the best way to ensure they pay employees all their rightful wages. Failure to do so could result in a costly lesson.”

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 iOS Timesheet App available for free in English or Spanish. 

Agency
Wage and Hour Division
Date
February 22, 2024
Release Number
24-284-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Erika Ruthman
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US Labor Department recovers $37K in back wages for 37 workers denied overtime by Charleston construction contractor

News Brief

US Labor Department recovers $37K in back wages for 37 workers denied overtime by Charleston construction contractor

Employer:      EAS Homes LLC

                        9012 Timber St.

                        Charleston, SC 29406

Investigation findings: U.S. Department of Labor Wage and Hour Division investigators found a Charleston commercial construction contractor misclassified some workers as independent contractors. By doing so, EAS Homes failed to pay the additional half-time rate for all hours worked over 40 in a workweek in violation of the Fair Labor Standards Act

Back wages recovered: The division recovered $37,155 in back wages for 37 workers.                                            

Quote: “Misclassification of workers as independent contractors denies them overtime wages and benefits they legally earned and rightly deserve. In addition, it denies them employer contributions toward their social security benefits,” said Wage and Hour Division District Director Jamie Benefiel in Columbia, South Carolina. “It would be wise for employers to review their pay practices and take advantage of the many tools the Wage and Hour Division has to assist them in complying with the law.”

Background: As part of its efforts to address misclassification, the Wage and Hour Division published a final rule, which is effective March 11, 2024, and revises guidance on how to analyze whether a worker is an employee or independent contractor under the FLSA. 

Employers and workers alike 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 can help ensure hours worked and pay are accurate by downloading the department’s Android and iOS Timesheet App available for free in English or Spanish. 

Read this news release En Español

Agency
Wage and Hour Division
Date
February 22, 2024
Release Number
24-170-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Erika Ruthman
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Department of Labor recovers $52K in tips, unpaid wages, damages after investigators found Saipan restaurants recklessly disregarded workers’ rights

News Brief

Department of Labor recovers $52K in tips, unpaid wages, damages after investigators found Saipan restaurants recklessly disregarded workers’ rights

Mura Ichiban and Nam Dae Moon restaurants also assessed $1,500 in penalties

Employer:      R&I Corp., operating as Mura Ichiban Restaurant and Nam Dae Moon Restaurant

                            PMB 303 Box 10003

Saipan, MP 96950                                                                                                     

Investigation findings: An investigation by the U.S. Department of Labor’s Wage and Hour Division found R&I Corporation, operating as Mura Ichiban Restaurant and Nam Dae Moon Restaurant, illegally kept credit card tips from its tipped employees at both locations, failed to pay at least federal minimum wage for all hours worked and did not pay overtime wages to several Mura Ichiban employees, all violations of the Fair Labor Standards Act 

Back Wages Recovered:     $12,316 in withheld credit card tips for 10 employees

$11,093 in unpaid minimum wage for 6 employees                                                                             

                                                        $2,736 in unpaid overtime for 6 employees

                                                        $26,146 in liquidated damages for 13 employees

                                                        $1,500 in civil money penalties

Quote: “The U.S. Department of Labor is determined to fight against wage theft in the restaurant industry,” said Wage and Hour Division District Director Terence Trotter in Honolulu. “This restaurant recklessly violated their employees’ most basic rights, including pocketing a portion of their tips. This case should remind restaurant employers that all tips, including those left on customer credit cards, are the property of the workers who earned them.”

ContextWorkers 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.  

Agency
Wage and Hour Division
Date
February 21, 2024
Release Number
24-332-SAN
Media Contact: Michael Petersen
Media Contact: Jose Carnevali
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US Department of Labor to host online educational seminar for agriculture industry employers, workers, other stakeholders

News Brief

US Department of Labor to host online educational seminar for agriculture industry employers, workers, other stakeholders

Seminar will provide guidance on federal requirements governing agricultural employment

Who:               U.S. Department of Labor

What:             2024 Virtual Agricultural Seminar

When:             March 28, 2024, 9:30 a.m. to 5 p.m. CST

Where:           Online event. Register to attend.

Background: The U.S. Department of Labor’s Wage and Hour Division will hold a 2024 Virtual Agricultural Seminar to provide guidance on federal requirements governing agricultural employment for growers, farmers, shippers, contractors, farm labor contractors, buyers and agricultural workers nationwide.

Presented in coordination with other agencies and stakeholders, the virtual seminar will focus on federal laws and regulations governing agricultural employment and include discussions on the H-2A temporary agricultural programFair Labor Standards ActMigrant and Seasonal Agricultural Worker Protection Act and Office of Foreign Labor Certification

Participating agencies include the Department of Labor’s Wage and Hour Division, Bureau of International Labor Affairs’ Office of Trade and Labor Affairs and Employment and Training Administration’s Office of Foreign Labor Certification; the U.S. Citizenship and Immigration Services; the U.S. Consulate General Monterrey, Fraud Prevention Unit; and the  Immigrant and Employee Rights Section of the Department of Justice’s Civil Rights Division.

Discussions will include overviews of the requirements for wages, housing, transportation, field sanitation, farm labor contractor certification, the H-2A petition process and each agency’s role in therein, and more.

Simultaneous Spanish translation will be offered at this event. To request an accommodation or for inquiries about accessibility, please contact William Sabik at Sabik.william@dol.gov by March 23, 2024.

Lea en Español 

Agency
Wage and Hour Division
Date
February 21, 2024
Release Number
24-361-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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US Department of Labor recovers nearly $18K in back wages, damages for wrongly terminated worker at rehabilitation facility in Louisiana

News Release

US Department of Labor recovers nearly $18K in back wages, damages for wrongly terminated worker at rehabilitation facility in Louisiana

AMG Physical Rehab terminated, denied worker FMLA

Employer name:        Covington-AMG Rehabilitation Hospital LLC, doing business as AMG Physical

                                            Rehab

Investigation site:     5025 Keystone Blvd. 

                                            Covington, LA 70433                                                                                                      

Investigation findings: The U.S. Department of Labor’s Wage and Hour Division found AMG Physical Rehab violated the Family and Medical Leave Act by denying a key employee’s request for medical leave and subsequently terminated her. Key employees are covered by FMLA and are eligible to receive leave under the Act. AMG Physical Rehab also failed to provide required notices on FMLA eligibility, rights and responsibilities to the employee. 

Back wages and damages: $8,967 in back wages and $8,967 in liquidated damages.

Quote: “This case demonstrates the importance of providing required notifications to employees about their Family and Medical Leave Act rights and responsibilities,” said Troy Mouton, District Director in New Orleans. “Employees who are eligible for FMLA have rights that must be honored, and terminating an employee who attempts to exercise those rights can have costly consequences.”

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. The FMLA provides eligible employees of covered employers with job-protected leave for qualifying family and medical reasons. It protects leave in a number of circumstances, including the birth or care of a child, placement of a child for adoption or foster care, and care for a spouse or parent who has a serious health condition. 

Learn more about the FMLA.

Agency
Wage and Hour Division
Date
February 21, 2024
Release Number
24-187-DAL
Media Contact: Chauntra Rideaux
Media Contact: Juan Rodriguez
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New York landscaping company to pay $1.1M after US Department of Labor uncovers overtime, H-2B program violations

News Release

New York landscaping company to pay $1.1M after US Department of Labor uncovers overtime, H-2B program violations

Dario’s Landscaping debarred from temporary foreign labor program for 1 year

LONG ISLAND, NY – A U.S. Department of Labor investigation has found that a Southampton landscaping company failed to comply with requirements of the Fair Labor Standards Act and the federal H-2B worker program and will recover over $1 million in back wages and liquidated damages for 54 underpaid workers.

The investigation by the department’s Wage and Hour Division determined that over a three-year period, Dario’s Landscaping & Masonry Inc., doing business as Dario’s Landscaping, violated the FLSA when it did not pay employees any overtime for hours worked over 40 in a workweek and provided false records to division investigators to attempt covering up wage violations.

The division found that between October 2018 and October 2021, the employer failed to pay H-2B workers the correct rate, threatened that H-2B workers would not be re-hired if they cooperated with division investigators and coached workers to give false testimony. These actions violated the requirements of the H-2B worker program, which allows businesses to employ workers on temporary visas for seasonal labor.

On Feb. 16, 2024, a federal judge issued a consent judgment, requiring Dario’s Landscaping to pay $484,690 in FLSA back wages and an equal amount in liquidated damages to 54 workers. On Jan. 22, 2024, an administrative law judge approved H-2B consent findings, ordering Dario’s Landscaping to pay an additional $31,710 in back wages to 29 of the workers. Dario’s Landscaping will also pay civil money penalties of $98,908. In total, the employer will pay $1.1 million, plus $12,021 in post-judgment interest, and will be debarred from the H-2B program for one year. The order also requires that Dario’s Landscaping engage a compliance consultant, train managers and educate workers about their rights.

“The U.S. Department of Labor will pursue all necessary legal actions to ensure that employers are held accountable when they fail to uphold their obligations to comply with federal laws,” said Regional Solicitor of Labor Jeffrey S. Rogoff in New York.

“Unfortunately, H-2B program workers are vulnerable to being shortchanged by employers,” said Wage and Hour Division District Director David An in Westbury, New York. “H-2B employers that willfully disregard the law could face debarment and costly penalties.”   

The federal H-2B worker program permits employers to temporarily hire nonimmigrants to perform nonagricultural labor or services in the U.S. The employment must be for a limited period, such as a one-time occurrence, seasonal, peak load or intermittent need.

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 the division confidentially with questions, regardless of where they are from. The department 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 Timesheet App for iOS and Android devices – free and now available in Spanish – to track hours and pay.

Agency
Wage and Hour Division
Date
February 21, 2024
Release Number
24-86-NEW
Media Contact: Ted Fitzgerald
Media Contact: James C. Lally
Phone Number
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US Department of Labor recovers $131K for 110 employees denied overtime, misclassified as independent contractors by Hawaii security services company

News Brief

US Department of Labor recovers $131K for 110 employees denied overtime, misclassified as independent contractors by Hawaii security services company

Employer:      Prior Vision LLC

                             590 Farrington Highway, Suite 524-445

 Kapolei, HI 96707

Investigation findings: The U.S. Department of Labor’s Wage and Hour Division found that Prior Vision misclassified 110 security guards and patrol officers as independent contractors and denied the employees required overtime pay for hours worked beyond 40 in a workweek, a violation of the Fair Labor Standards Act. 

Based on an evaluation of the significant factors of an employment relationship, investigators determined the claimed independent contractors were dependent on Prior Vision – not persons engaged in their own businesses. The division also found the employer failed to keep accurate records of all hours worked and wages paid.

Back wages recovered:       $65,642 in back wages for 110 employees

                                                         $65,642 in liquidated damages for 110 employees

                                                         $36,000 in civil money penalties for the reckless nature of the violations.        

Quote: “A worker’s right to overtime pay for hours worked over 40 in a workweek can’t be waived by employers,” said Wage and Hour Division District Director Terence Trotter in Honolulu. “Mischaracterizing employees as independent contractors to avoid lawfully required wage standards, social security contributions or state-mandated insurance protections is illegal.” 

BackgroundThe U.S. Department of Labor announced a final rule to help employers and workers better understand when a worker qualifies as an employee and when they may be considered an independent contractor under the Fair Labor Standards Act. The rule provides guidance and seeks to combat employee misclassification, a serious problem that impacts workers’ rights to minimum wage and overtime pay, facilitates wage theft, allows some employers to undercut their law-abiding competition and hurts the economy at large. 

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. You can find other information on the agency’s website if you think you may have been misclassified as an independent contractor, or want to know 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.

Agency
Wage and Hour Division
Date
February 20, 2024
Release Number
24-88-SAN
Media Contact: Michael Petersen
Media Contact: Jose Carnevali
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US Department of Labor recovers $159K in back wages for restaurant workers after employer takes their tips

News Brief

US Department of Labor recovers $159K in back wages for restaurant workers after employer takes their tips

Izumi Sushi & Hibachi All You Can Eat LLC denied workers tips, overtime

Employer name:          Izumi Sushi & Hibachi All You Can Eat LLC 

Investigation site:      2844 Thousand Oaks Drive

                                              San Antonio, TX 78232 

Investigation findings: The U.S. Department of Labor’s Wage and Hour Division found the employer operated an illegal tip pool policy whereby employer kept the tips and gave them to the managers – an illegal action under federal law. As a result, the tip credit claimed by the employer became invalid and the employer was required to return the tips to employees and pay the full federal minimum wage in addition to the tips. Additionally, the employer failed to pay proper overtime compensation.

Back wages and damages: $159,525 in back wages to 26 employees

Quote: “Restaurant employers must ensure that tipped employees receive all the wages they earn – including tips. Employers may not keep tips provided to the employee, this includes not allowing a manager or supervisor to retain tips,” explained Wage and Hour District Director Cynthia Ramos in San Antonio, Texas. “We encourage employers and employees to contact the Wage and Hour Division with any questions or concerns regarding pay practices.”

Background: The Wage and Hour Division enforces laws governing pay practices and other labor standards, including the Fair Labor Standards Act, and determines if employers have misclassified employees as independent contractors, denying them critical benefits and worker protections. 

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.

Lea en Español

Agency
Wage and Hour Division
Date
February 20, 2024
Release Number
24-231-dal
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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