US Department of Labor recovers $167K in back wages, damages for 56 employees denied overtime by Utah restaurant operator

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US Department of Labor recovers $167K in back wages, damages for 56 employees denied overtime by Utah restaurant operator

Jurassic Street Tacos failed to pay overtime, keep records as required

Employer name:            Jurassic Street Tacos LLC

Investigation site:          242 East University Parkway Orem, UT 84058

                                                  275 North 500 West Provo, UT 84601

                                                  3604 Pony Express Parkway Eagle Mountain, UT 84005 (Taco Truck Location)

Investigation findings: The U.S. Department of Labor’s Wage and Hour Division found the street tacos restaurant operator paid straight time for all hours worked and, by doing so, failed to pay overtime for hours over 40 in a workweek violating the Fair Labor Standards Act. The division also discovered the employer did not maintain accurate time records as the law requires.

Back wages recovered: $83,539 in back wages and $83,539 in liquidated damages to 56 workers                                                

Quote: Jurassic Street Tacos denied its workers their rightful wages by not paying them the overtime premium as required by federal law. Unfortunately, this type of violation is common in the food service industry and deprives too many hard working people of their full pay,” said Wage Hour District Director Kevin Hunt in Salt Lake City. “We encourage employers to contact us to make sure they understand the laws governing pay practices so they can avoid the costly consequences of not complying with the law.”

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Agency
Wage and Hour Division
Date
April 18, 2023
Release Number
23-51-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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US Department of Labor sues Kansas City-area painting contractor to recover $102K in overtime wages, damages for 29 employees

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US Department of Labor sues Kansas City-area painting contractor to recover $102K in overtime wages, damages for 29 employees

Town and Country Inc. also shortchanged 8 temporary guest visa workers $93K in wages

Employer:      Town and Country Inc., Cleveland, Missouri

Actions:          Filing of Fair Labor Standards Act complaint in federal court

Request for administrative judicial hearing

Courts:           U.S. District Court for the Western District of Missouri, Western Division

                       Office of Administrative Law Judges

Investigation findings: On March 28, 2023, the U.S. Department of Labor filed a complaint in the U.S. District Court for the Western District of Missouri alleging Town and Country Inc. and its owner, Gabriel Myers, violated federal overtime and recordkeeping requirements. The company is a painting contractor in the metro-Kansas City, Missouri, area.

The complaint seeks a total of $102,774 — representing $51,387 in unpaid overtime wages and an equal amount in liquidated damages — for 29 painters.

After a review of the employers’ payroll records from Dec. 1, 2019, to Nov. 30, 2021, the Wage and Hour Division alleges the company violated the Fair Labor Standards Act when it:

  • Did not pay overtime at time and one-half the regular rate of pay for hours over 40 in a work week.
  • Incorrectly recorded hours worked within a pay period, thus denying some employees proper overtime pay for hours over 40 in a workweek.

Town and Country, and Myers refused to resolve the violations administratively which led the department’s Regional Office of the Solicitor in Kansas City, Missouri to litigate the case and file the complaint.

In another action involving the company, Town and Country requested a hearing before the Office of Administrative Law Judges on Dec. 12, 2022, after the department’s investigation also determined that the company violated the federal H-2B Visa program by misclassifying eight painters — employed under the temporary nonimmigrant worker visa program — as painters’ helpers which denied them the hourly wages for painters. The division found these workers are owed $93,210 in back wages, and assessed the employer $26,052 in civil money penalties for its violations.

The H-2B visa program permits U.S. companies to hire foreign workers for non-agricultural or other jobs in the U.S. for a one-time occurrence, such labor needed on a seasonal, peak load or intermittent basis.

The Office of Administrative Law Judges will attempt to mediate the H-2B case and proceed to litigation if needed.

Quote: “Overtime violations are found much too often in our investigations, particularly among employees who may not understand their workers’ rights under federal law,” said Wage and Hour District Director Reed Trone in Kansas City, Missouri. “Every worker in the U.S. — including workers with temporary guest visas — must be paid as federal wage laws require. Town and Country knew its obligations as an H-2B program employer but failed to pay proper wages to people they brought to the U.S. to work as painters, instead illegally  paying them as helpers at lower wages.” ­

Background: 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 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.

 

 

 

 

 

Agency
Wage and Hour Division
Date
April 14, 2023
Release Number
23-734- KAN
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number
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Department of Labor recovers $286K in back wages, damages for 143 painters, other employees denied overtime wages by San Bernardino contractor

News Release

Department of Labor recovers $286K in back wages, damages for 143 painters, other employees denied overtime wages by San Bernardino contractor

Sun West Services LLC also assessed $33K in penalties for violations

SAN BERNADINO, CA – A San Bernardino home contractor has paid nearly $320,000 after willfully denying overtime wages to 143 painters and other employees, after a U.S. Department of Labor investigation.

Investigators with the department’s Wage and Hour Division determined that Sun West Services LLC did not pay overtime compensation for hours over 40 in a workweek to piece-rate painting and hourly cleaning workers. The employer also failed to maintain proper records of employees’ work hours and other payroll records. Both infractions violate provisions of the Fair Labor Standards Act.

As a result of the investigation, the division has recovered a total of $286,289 — $143,144 in back wages and an equal amount in liquidated damages — for the affected employees. In addition, the department assessed, and Sun West Services has paid, $33,705 in civil money penalties for the willful nature of the employer’s violations. The investigation reviewed the company’s pay practices from March 2019 through March 2022.

“Federal law requires employers to pay all employees all of their legally earned wages,” said Wage and Hour Division Assistant District Director Gayane Aleksanian in West Covina, California. “In this case, Sun West Services willfully denied more than 140 piece-rate and hourly employees for overtime hours worked. The company has now learned that the Wage and Hour Division will hold employers accountable for such failures and for the costly consequences that come with them.”

Located in San Bernardino, Sun West Services LLC is a residential contractor that provides interior and exterior painting of new homes.

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

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 confidentially 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 i-OS and Android devices – free and now available in Spanish- to ensure hours and pay are accurate.

Agency
Wage and Hour Division
Date
April 14, 2023
Release Number
23-721-SAN
Media Contact: Michael Petersen
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US Department of Labor recovers $77K in back wages, liquidated damages after finding three liquor stores denied workers overtime

News Brief

US Department of Labor recovers $77K in back wages, liquidated damages after finding three liquor stores denied workers overtime

Employers:         Nyrio Investments Corp., operating as Stateline Liquor & Wine at 1069 Main Street, Southaven, MS 38671

                             Three Star Investments, operating as Three Star Liquor Store, 3305 South 3rd Street, Memphis, TN 38109

                             Yala Investments Corp., operating as Spirits Unlimited at 3024 Covington Pike Street 1, Memphis, TN 38218

Investigation findings: U.S. Department of Labor Wage and Hour Division investigators found three liquor stores in Mississippi and Tennessee, which share common ownership, paid employees straight-time rates for all hours worked. By doing so, the employer failed to pay the employees a time-and-one-half premium rate for hours over 40 in a workweek, an overtime violation of the Fair Labor Standards Act. In addition, the employers did not maintain complete and accurate time and pay records.

Back wages and liquidated damages recovered: The division recovered $38,837 in back wages for 11 workers, and an equal amount in liquidated damages.     

Quote: “Employers must pay their employees the wages they have legally earned for all the hours they work,” said Wage and Hour Division District Director Audrey Hall in Jackson, Mississippi. “There is no excuse for employers to intentionally deny these hard-working people their lawfully earned wages.”

Background: Employers can contact the Wage and Hour Division at its toll-free number, 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 can call the Wage and Hour Division confidentially with questions – regardless of their immigration status – and the department can speak with callers in more than 200 languages. Workers and employers alike can help ensure hours worked and pay are accurate by downloading the department’s Android Timesheet App for free, which is available in Spanish and English.  

 

Agency
Wage and Hour Division
Date
April 10, 2023
Release Number
23-557-ATL
Media Contact: Erika Ruthman
Media Contact: Eric R. Lucero
Phone Number
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US Department of Labor recovers $114K for 92 workers after investigation finds Houston car wash chain denied overtime wages

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US Department of Labor recovers $114K for 92 workers after investigation finds Houston car wash chain denied overtime wages

Employer locations:   Westheimer Car Wash LLC, 12810 Westheimer Road, Houston (Headquarters)

                                      Hobby Car Wash LLC, 7991 Bellfort Ave., Houston

                                      Cypress Car Wash LLC, 12702 Jones Road, Houston                    

                                      Cy Fair Car Wash LLC, 2030 S. Texas 6, Houston

                                      Spring Car Wash LLC, 6880 Louetta Road, Spring                   

                                      Richmond Car Wash LLC, 1620 FM 359 Road, Richmond

                                      All operating as Dr. Car Wash Plus locations

Investigation findings: Investigators with the U.S. Department of Labor’s Wage and Hour Division found the employer paid straight time for hours worked without any overtime premium for hours over 40 in a workweek and did not include sales commissions in the regular rate for overtime purposes, both violations of the Fair Labor Standards Act. Investigators also determined the employer failed to keep complete and accurate records of the number of hours worked by employees and categorized the pay for hours worked over 40 as commission payment.

Back Wages Recovered: $114,221 for 92 workers.                                              

Quote: “When workers in low-wage industries are illegally denied overtime pay, it is difficult for them to make ends meet and care for their families,” said Wage and Hour Division District Director Robin Mallett in Houston. “Federal law requires that employers pay workers all their hard-earned wages, including overtime pay for hours worked over 40 in a workweek. Dr. Car Wash Plus denied workers overtime pay by categorizing the pay as commission. We encourage employers to contact us with any questions regarding their obligations under the law.” 

Background: Employers can contact the Wage and Hour Division at its toll-free number, 1-866-4-US-WAGE. The division also offers numerous online resources for employers, such as a fact sheet on the FLSA’s overtime pay requirements . Workers who feel they may not be getting the wages they earned may contact a Wage and Hour Division representative in their state by accessing the list of offices and an interactive online map on the agency’s website. Workers and employers alike can help ensure hours worked and pay are accurate by https://www.dol.gov/agencies/whd/timesheet-app

Learn more about the Wage and Hour Division.

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Agency
Wage and Hour Division
Date
April 6, 2023
Release Number
22-490-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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US Department of Labor recovers $62K in minimum wage, overtime back wages, damages for 20 workers of Grand Rapids’ restaurant

News Release

US Department of Labor recovers $62K in minimum wage, overtime back wages, damages for 20 workers of Grand Rapids’ restaurant

Investigation finds Tacos el Cuñado Alpine LLC failed to pay overtime

GRAND RAPIDS, MI – The U.S. Department of Labor has recovered $62,412 in back wages and damages for 20 workers after a federal court in Michigan supported the department’s findings that a Grand Rapids restaurant denied overtime wages to the workers and failed to pay minimum wage to one server.

Under terms of a consent order and judgment entered by the U.S. District Court for the Western District of Michigan on April 4, Tacos el Cuñado Alpine LLC and owner Jessica Lopez will make immediate restitution to the employees denied their full wages.

Judge Robert J. Jonker’s order resolves the department’s March 15, 2023, lawsuit prompted by an investigation by the department’s Wage and Hour Division that identified the violations of the Fair Labor Standards Act and ordered Lopez to pay $31,206 in back wages and an equal amount in liquidated damages to the restaurant’s affected current and former employees.

Specifically, division investigators learned the employer failed to keep accurate pay records and to pay tipped and non-tipped workers time-and-one-half their average rate of pay for hours over 40 in a workweek. The FLSA requires the payment of minimum wage and overtime.

“The failure to pay overtime wages is far too common in the restaurant industry, particularly among vulnerable employees who may not understand their rights to overtime,” said Wage and Hour District Director Mary O’Rourke in Grand Rapids, Michigan. “The Wage and Hour Division provides confidential advice, if needed, to workers and employers unsure of federal wage standards and compliance with the law.” ­

The investigation reviewed the employer’s payroll records from Aug. 13, 2020 to Aug. 12, 2022. The department filed its complaint after Tacos el Cuñado Alpine LLC and Lopez failed to resolve the wage violations administratively. The department’s Regional Office of the Solicitor in Chicago litigated the case.

The FLSA requires the payment of minimum wage and overtime at time and one-half a worker’s average hourly rate of pay, including bonuses. Learn about specific FLSA rules for the restaurant industry.

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 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.

Su v. Tacos el Cuñado Alpine LLC, Jessica Lopez

U.S. District Court for Western Division of Michigan

Case: 2:23-cv-272

Agency
Wage and Hour Division
Date
April 5, 2023
Release Number
23-566-CHI
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number
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US Department of Labor recovers $108K from Alabama-based contractor for 21 workers in Jacksonville illegally denied overtime wages

News Brief

US Department of Labor recovers $108K from Alabama-based contractor for 21 workers in Jacksonville illegally denied overtime wages

Employer:                                          Timberline Construction Group LLC

                                                            9000 Philips Highway

                                                            Jacksonville, FL 32256

 

Investigation findings: The U.S. Department of Labor’s Wage and Hour Division found the employer wrongly classified workers as exempt from overtime. By doing so, they failed to pay employees the time-and-a-half overtime premium due for hours over 40 in a workweek, a violation of the Fair Labor Standards Act. 

Back wages recovered for workers:   $108,127 for 21 employees.                                               

Quote: “Employees who are classified as non-exempt and work more than 40 hours in a workweek, must be paid additional compensation. The employer reviewed its pay practices and agreed to future compliance. The division encourages all employers to use this example to ensure compliance with the law,” said Wage and Hour Division District Director Wildalí De Jesús in Orlando, Florida. “The Wage and Hour Division provides resources to employers and employees to help understand their responsibilities and rights under the law.”

Background: Headquartered in Birmingham, Alabama, Timberline Construction Group LLC is a commercial construction company that provides site development, directional drilling, manufactured housing, as well as disaster response and community housing services. The company employs more than 200 people in Alabama, Florida, Louisiana, Missouri, North Carolina, Texas and West Virginia.

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 numerous online resources for employers, such as a fact sheet on overtime pay requirements of the FLSA. Additional guidance on recovery work associated with natural disasters can be found on this compliance assistance toolkit.

Agency
Wage and Hour Division
Date
April 5, 2023
Release Number
23-562-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Erika Ruthman
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US Department of Labor recovers $289K in back wages, damages, penalties after investigation found Maryland employers denied workers overtime wages

News Brief

US Department of Labor recovers $289K in back wages, damages, penalties after investigation found Maryland employers denied workers overtime wages

Employer names:     

Stark Truss Baltimore LLC, 1200 E. Patapsco Ave., Baltimore, MD 21225

Jordi Construction LLC, 6706 Coolridge Road, Temple Hills, MD 20748

Investigation findings: The U.S. Department of Labor’s Wage and Hour Division determined the two companies entered into an “employee lease agreement,” for which Jordi Construction provided leased workers to augment Stark Truss Baltimore’s workforce. Division investigators found that once “leased” employees worked 40 hours in a workweek for Jordi Construction at Stark Truss Baltimore’s worksite, they were directed to work additional hours under Stark Truss Baltimore. This arrangement led to the joint employers willfully paying affected employees straight time instead of the required overtime premium for hours worked over 40 in a workweek, a violation of the Fair Labor Standards Act.

Under the FLSA, an employee may have –in addition to their employer – one or more joint employers. Joint employment applies when an employee is employed by two or more employers such that the employers are responsible, both individually and jointly, for compliance with federal labor laws.

Back wages/liquidated damages recovered:  $135,124 in back wages and an equal amount in liquidated damages.

Civil money penalty: $19,522

Workers affected: 42

Quote: “These employers illegally used their employee lease agreement to intentionally avoid paying overtime wages,” said Wage and Hour Division Assistant District Director Linamarie Martinez in Hyattsville. “The division will hold companies accountable when they don’t meet their obligations under the law.”

Background: Stark Truss is a manufacturer and supplier of components for the construction industry and is headquartered in Canton, Ohio. Jordi Construction is a residential construction contractor specializing in framing.

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 Wage and Hour 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.

Agency
Wage and Hour Division
Date
April 4, 2023
Release Number
23-624-PHI
Media Contact: Leni Fortson
Media Contact: Joanna Hawkins
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US Department of Labor alleges Palm Beach medical transportation company misclassified employees as independent contractors, denied them overtime pay

News Brief

US Department of Labor alleges Palm Beach medical transportation company misclassified employees as independent contractors, denied them overtime pay

Date of action:                       March 31, 2023

Type of action:                      Complaint

Names of defendant:         Medi-Wheels of the Palm Beaches Inc.

Allegations: The U.S. Department of Labor alleges that Medi-Wheels of the Palm Beaches Inc. – a company providing non-emergency and emergency medical transportation services to patients in South Florida and Florida’s West Coast – misclassified 46 of its drivers as independent contractors and violated minimum wage, overtime and recordkeeping provisions of the Fair Labor Standards Act. The complaint seeks back wages resulting from these violations from June 2020 through Dec. 1, 2022, and for violations continuing after Dec. 1, 2022, through present, for current and former employees listed in the complaint, as well as liquidated damages and an injunction against future violations of the FLSA.

Quote: “Employers who willfully violate labor laws at the expense of employees and competitors must understand that we will do everything within our rights, including litigation, to bring them to justice,” said U.S. Department of Labor Regional Solicitor Tremelle Howard in Atlanta.

Court: U.S. District Court for the Southern District of Florida, Palm Beach Division

Docket Number: 9:23-cv-80505-RLR

Agency
Office of the Solicitor
Date
April 3, 2023
Release Number
23-642-ATL
Media Contact: Eric R. Lucero
Phone Number
Media Contact: Erika Ruthman
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US Department of Labor to host online forum for employers, contractors, workers, other stakeholders on workplace compliance, other issues

News Brief

US Department of Labor to host online forum for employers, contractors, workers, other stakeholders on workplace compliance, other issues

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

WHAT:          2023 Department of Labor Forum–Partnering to Build Sustainable Compliance

WHEN:          May 2 and 3, 2023

                        9 a.m. to 4:30 p.m. CDT

WHERE:       Online event

Attendance is free, but registration is required. An event link will be provided after registration.

Background: Organized by the Wage and Hour Division in Dallas, the forum will include panel discussions on compliance with federal laws governing wages and other workplace issues. The forum will include representatives of the department’s Bureau of Labor Statistics, Employment Benefits Security Administration, Employment and Training Administration, Office of Federal Contract Compliance Programs, Office of Labor-Management Standards, Occupational Safety Health Administration, Veterans' Employment Training Service, Wage and Hour Division and the Women’s Bureau.

Also attending will be representatives of the Equal Employment Opportunity Commission, the Department of Housing and Urban Development, IRS, National Labor Relations Board and the Small Business Administration.

During the forum, agency representatives will make presentations, ranging from 30 to 90 minutes.

Quote: “The U.S. Department of Labor is determined to offer tools and training to employers, federal contractors, and their employees to help them understand regulations governing their workplaces,” said Wage and Hour Division Regional Administrator Betty Campbell in Dallas. “Online events like this one are designed to help employers improve compliance and inform workers about their rights under federal law.”

“We encourage all employers and employees to use the tools the department offers and contact us for more information,” Campbell added.

Agency
Wage and Hour Division
Date
April 3, 2023
Release Number
23-594-DAL
Media Contact: Chauntra Rideaux
Media Contact: Juan Rodriguez
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