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

What:             Labor law webinar for Hospitality Worker Appreciation Day 

When:             Feb. 22, 2024, 9 a.m. to 4 p.m. EST   

Where:           Online webinar. The event is free, but registration is required. 

Background: The U.S. Department of Labor’s Wage and Hour Division – in coordination with the Women’s Bureau, Equal Employment Opportunity Commission, Occupational Safety and Health Agency and the Office of Foreign Labor Certification – will mark Hospitality Worker Appreciation Day by offering a webinar on federal regulations governing workers’ wages and benefits and employers’ responsibilities in hotels, motels, restaurants and staffing agencies in the Southeast. 

This multi-agency event will provide information on the Fair Labor Standards Act’s minimum wage, overtime and recordkeeping provisions as well as requirements under H-2B visa program. The webinar will also cover the employment relationship as it applies to staffing agencies and clients. Participants will also receive compliance information relevant to laws enforced by the EEOC and OSHA. In fiscal year 2023, the Wage and Hour Division identified violations in 92 percent of more than 1,500 investigations in the hospitality industry and recovered more than $9.3 million in back wages for more than 8,900 workers. The agency also assessed more than $1.3 million in civil money penalties to employers found in violation of the law. 

Quote: “Hospitality workers provide critical labor that allows industry employers to be profitable and enables guests to enjoy their accommodations,” said Wage and Hour Division Regional Administrator Juan Coria in Atlanta. “We’ve designed this webinar to meet the hospitality industry’s unique needs in the hope that we can educate employers – including staffing agencies – on their legal responsibilities and help workers understand how we safeguard their wages and benefits.”

Employer name:  Ole Jose Grill & Cantina LLC, operating as Ole, Jose Grill & Cantina

Employer address: 564 River Drive Ave., Pineville, West Virginia 24784

Investigation findings:  Investigators with the U.S. Department of Labor’s Wage and Hour Division found violations of the Fair Labor Standards Act when the employer improperly paid tipped employees time and one-half their cash wage for hours over 40 in a workweek – instead of time and one-half the applicable minimum wage.  Additionally, the employer misclassified one tipped employee as an independent contractor, paid kitchen staff a flat rate for all hours worked with no overtime premium paid and failed to keep hours worked records for the back of house kitchen employees.

Back wages recovered: $83,632 to 17 employees

Liquidated damages paid: $83,632

Quote: “Many restaurant workers struggle to make ends meet and they deserve to be paid for all hours worked. Employers who shortchange their employees will be held accountable,” said Wage and Hour Division District Director John DuMont in Pittsburgh, Pennsylvania.

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). 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.

HOUSTON – The U.S. Department of Labor recovered $460,857 in back wages and damages after federal investigators found a Houston supermarket failed to pay 104 workers overtime wages.

An investigation by the department’s Wage and Hour Division found that Y. S. Lee Company Inc. – operating as Guanajuato Supermarket – paid its employees straight time rates instead of time-and-one-half their regular rate of pay for hours worked over 40 in a workweek, as required by the Fair Labor Standards Act.

Investigators found the supermarket, which includes a restaurant, meat market and bread store, also failed to keep accurate pay records as required by federal law. 

“Employers have a legal obligation to pay workers correctly for all the hours they work, including time-and-one-half their regular rate of pay for hours over 40 in a workweek. When they fail to do so, they violate the law and face having to pay back wages and liquidated damages to their employees,” said Wage and Hour Division District Director Nicole Sellers in Houston. “We are committed to ensuring essential protections for workers and providing clear and confidential compliance assistance to any employee or employer with questions.”

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 and denied 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.

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.

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WASHINGTON – The U.S. Department of Labor announced today that its Wage and Hour Division will offer online seminars throughout 2024 for contracting agencies, contractors, unions, workers and other stakeholders on the requirements for paying prevailing wages on federally funded construction and service contracts.

Part of the division’s effort to increase awareness and improve compliance, each day-long seminar will include sessions on the Davis-Bacon Act, Service Contract Act and other related topics. Participants can choose among the sessions offered throughout the day. 

The seminars are scheduled for Feb. 27, May 15 and Aug. 29. Any updates will be posted on the prevailing wage seminar webpage, which includes a video library covering additional topics.

“Prevailing wage laws empower workers by ensuring that construction and service jobs on federally funded projects across the country are good jobs with fair wages and benefits,” said Wage and Hour Administrator Jessica Looman. “The Biden-Harris administration’s historic investments in our nation’s infrastructure provide the Wage and Hour Division an opportunity to educate employers as they compete for new federal contract opportunities that put skilled employees to work in communities across America.” 

While seminar attendance is free, registration is required. Additional information, including links to the sessions for each date, will be provided to participants after registration. 

MANTECA, CA – A restaurant in California will pay $824,405 in back wages and liquidated damages to 102 workers after an investigation by the U.S. Department of Labor found the company’s pay practices denied employees overtime pay for the hours they worked beyond 40 per week, as the law requires.

Investigators with the department’s Wage and Hour Division found Juan Francisco Fonseca – owner of a restaurant company operating under different corporations as La Estrella Tacos & Seafood at four locations in Manteca, California – in violation of the Fair Labor Standards Act for not paying required overtime rates and failing to maintain accurate and complete payroll records.

Division investigators found the employer tried to avoid paying overtime by creating different corporations and not combining the hours worked at multiple locations for purposes of overtime pay calculations. Some employees who worked up to 26 overtime hours per week were paid at their regular rates of pay.

“Restaurants with workers at more than one location cannot simply move employees between establishments in the same workweek to avoid overtime pay,” said Wage and Hour Division District Director Cesar Avila in Sacramento, California. “This employer’s costly disregard for their workers’ rights has also resulted in the assessment of civil money penalties.”

In addition to the employer paying $412,202 in overtime back wages and an equal amount in damages, the department assessed $50,320 in civil money penalties due to the willful nature of the violations.

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 rate of pay for all hours worked over 40 in a workweek. 

Workers and employers can contact the division confidentially at its toll-free number, 1-866-4-US-WAGE (487-9243). Learn more about the Wage and Hour Division, including the agency’s restaurant compliance assistance toolkit, an overview of FLSA protections for restaurant workers and Workers Owed Wages, a search tool to use if you think you may be owed back wages collected by the division. Workers and employers alike can track hours worked and pay by downloading the department’s Android and iOS Timesheet App for free in English or Spanish.

This news release is also available in Spanish. 

Employer:                              Excelsior Ambulance Service Inc.

                                                173 SE Baya Drive

                                                Lake City, FL 32025

Investigation findings: U.S. Department of Labor Wage and Hour Division investigators found the ambulance service provider paid workers an incorrect overtime rate, in violation of the Fair Labor Standards Act. The agency found that the employer failed to pay the correct overtime rate after the Florida minimum wage rate increased from $10 per hour to $11 per hour on Sept. 30, 2022. Instead, Excelsior Ambulance Service continued paying the lesser wage rate after the change became effective, leading to paying overtime at rates lower than required by law. 

Back wages and liquidated damages recovered: The division recovered $33,319 in back wages and liquidated damages for 28 workers.                           

Quote: “The resolution of this investigation should serve as a reminder to employers to stay current with all changes to regulations that govern employee pay and benefits. Failing to do so can lead to a costly lesson,” said Wage and Hour Division District Director Vilma Bell in Orlando, Florida. “Employees deserve to take home every dollar they earn. 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 and avoid costly compliance issues.”

Background: Excelsior Ambulance Service currently provides ambulance services for the Lake City Veteran Affairs Medical Center and the VA Nursing Home Care Unit in Lake City. Additionally, they serve residents in St. Mary’s, Augusta and Greensboro, Georgia and Montgomery, Alabama. The company employs approximately 200 employees across its locations. 

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. 

Employer name:  Kanawha County Parks and Recreation Commission, doing business as Big Bend Golf, doing business as Coonskin Park

Investigation sites: 

375 Henry C Hoppy Shores Drive, Charleston, West Virginia 25302

151 Riverview Drive, Tornado, West Virginia 25202

Investigation findings: Investigators with the U.S. Department of Labor’s Wage and Hour Division found the employer incorrectly determined that seven seasonal employees were exempt from overtime and paid them straight time instead of time and one half for hours worked over 40 in a work week. Additionally, the employer failed to properly compute compensatory time for 17 year-round employees. These actions violated the Fair Labor Standards Act.

Back Wages Paid:  $5,234 to nine workers at Big Bend Golf

                                       $8,405 to 15 workers at Coonskin Park

Liquidated damages paid: $13,639 totaling $27,278.

Quote: “We encourage employers to contact the Wage and Hour Division for compliance assistance to ensure full-time and seasonal workers are paid correctly,” said Wage and Hour Division District Director John DuMont in Pittsburgh, Pennsylvania.

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). 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.

Employer name:        Comfort Air of Grand Junction LLC

Investigation site:     746 Scarlet St.

                                            Grand Junction, CO 81505

Investigation findings: The U.S. Department of Labor’s Wage and Hour Division found the employer failed to pay 63 employees time and one-half for all hours worked greater than 40 hours a week and failed to include travel time when determining total hours worked, a violation of the Fair Labor Standards Act. 

Back wages and damages: $90,086 in owed back wages, $90,086 in liquidated damages.

Quote: “Paying workers the wages they are owed is a legal requirement and a fundamental principle that creates a fair work environment,” said Wage and Hour District Director Chad Frasier in Denver. “The Wage and Hour Division will continue to hold employers accountable and protect the rights of all workers.”

Background: In fiscal year 2023, investigations by the Wage and Hour Division recovered more than $274 million in back wages for nearly 163,000 workers. These were wages owed for work performed but not paid by employers.

MIAMI – The U.S. Department of Labor has recovered $901,625 in back wages and liquidated damages for 75 workers of a Florida grocery store enterprise after finding their employer wrongly exempted them from eligibility for overtime pay.

The department’s Wage and Hour Division determined La Primavera Store Inc. – operating as La Primavera Supermarket in Fort Pierce, Bradenton and Sarasota – incorrectly categorized the affected employees as overtime exempt and did not pay them the required time-and-one-half rate for hours over 40 in a workweek, as required by the Fair Labor Standards Act.

Investigators found the employees did not meet certain criteria for exemption, including being paid at least $684 per week on salary, conducting managerial duties such as directing the work of two or more full-time employees regularly and having the authority to hire and fire employees.

“Employers who misapply exemptions and deny hard-working people all of their earned wages make it harder for workers to provide for themselves and their families,” explained Wage and Hour Division District Director Daniel Cronin in Miami. “Under federal law, employers are responsible for making sure they comply with regulations that protect workers’ rights to their full wages, benefits and protections.”

In addition to wage violations, the division learned La Primavera Store employed two 15-year-old employees to work outside of legally allowed hours, in violation of federal child labor regulations. Specifically, the employer employed the young workers past 7 p.m. between Labor Day and June 1 and more than 18 hours during school weeks. The division assessed the employer with a $1,582 civil money penalty to address the child labor violations.

“Learning new skills in the workforce is an important part of growing up – but we must protect children and ensure their first jobs do not interfere with their education or well-being,” added Cronin. “The Fair Labor Standards Act allows for developmental experiences but limits the work hours of 14- and 15-year-old workers and provides for penalties when employers do not follow the law.”

As a result of investigations like these across the state, the Wage and Hour Division is attempting to locate more than 14,000 Florida workers owed more than $6.5 million it has recovered from employers. People who believe they may be owed back wages collected by the division should use its Workers Owed Wages search tool to determine if they are owed back wages.

Workers can call the Wage and Hour Division confidentially with questions and the department can speak with callers in more than 200 languages. Learn more about the Wage and Hour Division, including information about protections for young workers on the department’s YouthRules! website. Through the YouthRules! initiative, the U.S. Department of Labor and its partners promote developmental work experiences that help prepare young workers to enter the workforce. The Wage and Hour Division has also published Seven Child Labor Best Practices for Employers to help employers comply with the law.

For more information about the FLSA and other laws enforced by the agency, contact the division’s toll-free helpline at 866-4US-WAGE (487-9243). The division also offers online resources for employers, such as a fact sheet on Fair Labor Standards Act overtime requirements.

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

Read this news release En Español. 

Read this news release En Español. 

WILMINGTON, NC – The U.S. Department of Labor has recovered $168,796 in back wages for 51 workers at a Wilmington storm response contractor that misclassified them as independent contractors and failed to pay them for several months after work was completed.

The department’s Wage and Hour Division found Utility Resource Services LLC, which employs former utility workers and drivers to identify and report line and power issues in areas affected by hurricanes, violated minimum wage and overtime violations of the Fair Labor Standards Act when it failed to pay many of the affected workers for more than seven months. 

Investigators also learned the employer had misclassified some employees as independent contractors and did not pay them required time-and-one-half rates for hours over 40 in a workweek and failed to maintain payroll records for its employees, as the law requires. 

“Federal law requires employers to comply with all federal employee protections, including proper classification and payment of all legally earned wages,” explained Wage and Hour Division District Director Richard Blaylock in Raleigh, North Carolina. “Our staff routinely provides assistance and training to help employers understand and follow the law and avoid the costly consequences of violations.” 

During the investigation, the employer reported they could not make payroll after another company holding the contract for those services failed to pay them. 

“The law does not allow employers to pass along their financial hardships to their employees. A customer’s failure to pay an employer for services does not affect their obligation to pay its employees’ lawfully earned wages on their regular pay dates,” added Blaylock. 

Currently, the Wage and Hour Division is holding more than $2.5 million in wages recovered from employers owed to more than 3,200 North Carolina workers. People who believe they may be owed back wages collected by the division should use its Workers Owed Wages search tool to determine if they are owed back wages.

Workers and employers can call the division confidentially with questions, and the department can speak with callers in more than 200 languages. For more information about the FLSA and other laws enforced by the agency, contact the division’s toll-free helpline at 866-4US-WAGE (487-9243). The division also offers online resources for employers, such as a fact sheet on Fair Labor Standards Act overtime requirements.

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