Who:               Wage and Hour Division

What:             Outreach assistance and enforcement action after December 2021 tornadoes

When:             Jan. 24-28, 2022

Where:           Mayfield, Kentucky

Background:  Members of the U.S. Department of Labor’s Wage and Hour Division response team are currently providing in-person assistance in the area where tornadoes in December 2021 caused widespread damage. Team members are reminding workers of their rights, and making sure employers understand their responsibilities when it comes to paying workers properly.

When emergencies and disasters strike, the Wage and Hour Division assists in recovery efforts in the communities affected by severe storms, floods and other disasters by ensuring employees conducting essential recovery work are paid as the law requires. The agency is committed to ensuring that workers in this country are paid properly and for all the hours they work, regardless of immigration status.

The agency also enforces contracts entered in with the federal government to include the Davis Bacon and Related Acts as well as The McNamara-O’Hara Service Contract Act.

Learn more about the Wage and Hour Division. If you feel that you have not been paid correctly or have questions/concerns, you can contact a representative from the agency at 1-866-487-9243 or find your nearest Wage and Hour Division office for assistance.

Employer Name:              Three Rivers Home Care LLC

Employer Address:          3629 Brownsville Road, Pittsburgh 15227

Company Description:     Home health services company

Investigation By:              U.S. Department of Labor

                                           Wage and Hour Division – Pittsburgh District Office

Findings: The division’s investigation found that Three Rivers Home Care failed to pay an overtime premium on sign-on bonuses for 26 home health aides. The bonuses were contingent upon each employee’s continuing employment until the time of payment. The Fair Labor Standards Act requires the bonuses be included in the regular rate of pay for overtime purposes. The employer also failed to maintain daily and weekly totals on the hours worked records, as the law requires.

Back Wages Recovered: $12,469 in back wage, $12,469 in liquidated damages

Quote: “Home health aides provide essential services that allow people with significant needs to remain living at home,” said Wage and Hour Division District Director John DuMont in Pittsburgh. “Our investigation has recovered nearly $25,000 in rightfully earned wages owed to 26 hard-working employees.”

Learn more about the Wage and Hour Division. Workers can call the division confidentially with questions – regardless of their immigration status – and the department can speak with callers in more than 200 languages.

For more information:  Minimum Wage and Overtime Pay for Direct Care Workers

PRINCETON, WV – A federal investigation recovered $270,984 in back wages and liquidated damages for 166 workers of a Princeton skilled nursing care facility. The employer failed to pay proper overtime as required by the Fair Labor Standards Act.

The U.S. Department of Labor’s Wage and Hour Division determined that Princeton Memorial Company – operating as Princeton Health Care Center – failed to pay the proper overtime premium to employees working 12-hour shifts.  Specifically, the employer failed to pay the required overtime when employees worked in excess of 8 hours in any workday and in excess of 80 hours in an established 14-day period, a practice permitted for hospitals and residential care facilities, under certain conditions. Princeton Health also failed to include on-call pay and other bonuses in the calculation of overtime pay. The employer paid bonuses for longevity, recruitment, vacation deferral and hero pay related to the pandemic.

To resolve its violations, Princeton Health Care Center paid $270,984 in back wages and liquidated damages to the affected workers including registered nurses, licensed practical nurses and certified nursing assistant as well as dietary, maintenance and housekeeping/laundry workers.

“Healthcare workers have been and continue to be some of our nation’s most essential workers. We look to them to care for us and our families, and they deserve our appreciation, respect and protection,” said Wage and Hour Division District Director John DuMont in Pittsburgh. “The Wage and Hour Division is committed to ensuring these essential workers, and all workers, are paid all of the wages they have earned.”

Under the FLSA, hospitals and residential care establishments may use a fixed work period of 14 consecutive days in lieu of the 40-hour workweek for the purpose of computing overtime. To use this exception, an employer must have a prior agreement or understanding with affected employees before the work is performed. The Wage and Hour Division’s Health Care Industry and Calculating Overtime Pay factsheet provides guidance to employers on accurate determination of overtime wages.

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.

HONOLULU – A Hawaii company that provides security officers to the state’s National Guard, the Hawaii State Arts Museum, Foster Botanical Gardens and other public and private facilities, will pay $1,539,773 in back wages and liquidated damages to 171 guards – and civil penalties – after a federal investigation determined the company denied workers overtime pay illegally.

Investigators with the U.S. Department of Labor’s Wage and Hour Division found Alii Security Systems Inc. of Honolulu established a “voluntary program” that offered guards more work hours if they waived their right to overtime and accepted straight-time pay for all hours worked. The division determined the company intentionally violated the Fair Labor Standards Act’s overtime laws, which requires that most employees be paid overtime pay when they work more than 40 hours in a workweek. 

The division identified $739,886 in back wages and an equal amount in liquidated damaged owed to the workers, and assessed $60,000 in civil money penalties for the willful nature of violations.

“Employers who attempt to evade their legal responsibility to pay workers all of their rightfully earned wages will face costly consequences,” said Jessica Looman, acting administrator of the Wage and Hour Division. “Alii Security Systems Inc. devised a scheme that denied overtime to guards who worked more than 40 hours in a workweek, cheated other guards out of a fair share of work hours, and gained an unfair competitive advantage over others in their industry that abide by the law.”

Owned by company president Sandra Dang, Alii Security Systems Inc. has provided security services in the state of Hawaii since 2003.

In fiscal year 2021, the Wage and Hour Division identified more than $6 million in wages owed for people working in the guard services industry.

For more information about the FLSA and other laws enforced by the division, contact the agency’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. 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.              

HARTFORD, CT – The U.S. Marshals Service facilitated the seizure of $126,250 in back wages and liquidated damages and $22,413 in attorney’s fees from the corporate bank account of a New London home healthcare provider after the employers reneged on a payment agreement and defied orders from the U.S. District Court for the District of Connecticut.

The U.S. Department of Labor sued Care at Home and owners Daniel Karp and Suzanne Karp in April 2018 after an investigation by its Wage and Hour Division determined they violated the Fair Labor Standards Act by failing to pay overtime to home healthcare employees and taking improper deductions for food and lodging from employees’ wages.

On Sept. 17, 2021, the court entered a consent judgment ordering the defendants to pay $126,250 in back wages and liquidated damages to 51 employees within 30 days. Previously, on Jan. 7, 2021, the court had ordered defendants to pay $22,413 in attorneys’ fees to the department by Jan. 28, 2021 because of defendants’ actions in the discovery phase of the litigation. In both cases, the defendants failed to make any payments despite the court’s orders and additional notices from the department.

The defendants’ actions led the department to seek and obtain a contempt order against the defendants, fining them $100 per business day until they are no longer in contempt. The department also obtained a writ of execution to authorize removal of the back wages, liquidated damages and attorneys’ fees from the defendants’ corporate bank account. The U.S. Marshals Service carried out the writ at Care at Home’s bank on Dec. 14, 2021. The division will distribute the back wages and liquidated damages to the affected workers.

“The defendants’ failure to pay their workers properly and their repeated refusal to obey court orders are unacceptable and will not be tolerated. The U.S. Department of Labor will not only pursue wages owed to employees up to the point of obtaining a judgment, but also will take appropriate legal steps, when warranted, to hold employers in contempt and seize their assets to satisfy those judgments,” said Regional Solicitor of Labor Maia Fisher in Boston.

“Employers are responsible for ensuring their pay practices comply with federal wage laws and that workers are paid all of the wages that they earn. When employers fail to do so, they risk costly consequences, such as in this case. We encourage employers to contact the Wage and Hour Division to ensure they understand their responsibilities and prevent violations,” said Wage and Hour District Director Donald Epifano in Hartford, Connecticut.

For more information about the FLSA and other laws enforced by the division, contact the agency’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. 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.

Walsh v. Care at Home, Daniel Karp and Suzanne Karp

Civil Action No.  3:18-cv-711

TAMPA, FL – When three Arcadia citrus farm labor contractors failed to comply with the requirements of the federal H-2A agricultural worker visa program, they shortchanged 123 employees – owing them $72,609 in total wages.

The U.S. Department of Labor’s Wage and Hour Division found that Benjamin M. Ramirez Harvesting Inc., AO Harvesting LLC and Gustavo Cisneros Harvesting Inc. failed to provide H-2A employees with at least three-quarters of the work hours guaranteed on their work contracts, and failed to pay them the wages required by law under the program. The H-2A temporary agricultural program allows agricultural employers to bring nonimmigrant foreign workers to the U.S. legally to perform agricultural labor or services of a temporary or seasonal nature when domestic workers are in short supply.

Investigators found that Benjamin M. Ramirez Harvesting violated the program’s required three-quarters guarantee and owed $30,915 in back wages to 31 employees. The agency also assessed a $1,429 civil penalty for the violation. AO Harvesting violated the same requirement and owed $37,005 in back wages to 38 employees. In that case, the agency also assessed a $1,429 civil penalty for the violation.

Labor contractor, Gustavo Cisneros Harvesting, violated the three-quarters guarantee and also failed to properly reimburse workers for inbound transportation costs as required by law. As a result, the employer paid $4,688 to the 13 employees affected and paid a $1,250 civil penalty assessed by the agency.

“The Wage and Hour Division will continue to protect the rights of essential agricultural workers, both domestic and H-2A visa workers, by conducting robust investigations of labor contractors and grove owners,” said Wage and Hour Division District Director Nicolas Ratmiroff in Tampa, Florida. “Sadly, these types of violations are all too common in the citrus industry. We urge employers to review the many tools available on our website to understand their obligations and reach out directly to our offices with questions.”

All three employers used the services of Yolanda B. Celaya, an agent with CCH Bookkeeping Inc., and harvested citrus for Alico. Benjamin M Ramirez Harvesting Inc. also harvested for Oakley Groves. These growers sell their citrus to processors including Tropicana and Peace River.

For more information about the H-2A visa program and other laws enforced by the division, contact the agency’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.

Read this news release En Español.

NORTH CHARLESTON, SC – Laws protecting the wages of tipped workers apply whether they work in restaurants or in grocery stores where food is served. A South Carolina employer learned this expensive lesson after a U.S. Department of Labor investigation.

Investigators with the department’s Wage and Hour Division found that Hang Lung Inc. – operator of H&L Asian Market, a North Charleston business that includes a grocery and restaurant – illegally kept all tips left by restaurant customers. H&L also failed to pay employees overtime as required when they worked over 40 hours in a workweek. The employer’s actions violated the Fair Labor Standards Act.

The division recovered $154,033 in back wages and liquidated damages for 10 employees.

“Tipped employees work hard to deliver good service and earn every tip they receive. When employers keep the tips for themselves and fail to pay the overtime when due, they not only violate federal labor laws but they also deny the workers the respect they are due,” said Wage and Hour Division District Director Jamie Benefiel in Columbia, South Carolina. “The U.S. Department of Labor encourages workers and employers at grocery stores and restaurants to contact Wage and Hour staff if they have questions about rules concerning pay, hours or tips.”                                   

For information about the FLSA and other laws enforced by the division, contact the agency’s toll-free helpline at 866-4US-WAGE (487-9243). 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.  A Restaurant Compliance Toolkit is available for employers seeking additional compliance resources.  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.

NEW YORK – A federal court has ordered a prominent Long Island thoroughbred horseracing stable and its owner to pay a total of $132,631 in back wages and liquidated damages to 52 grooms and hot walkers at several locations, including Belmont and Aqueduct racetracks. The stable owner failed to pay workers the overtime wages they earned.

The action by the U.S. District Court for the Eastern District of New York follows an investigation by the U.S. Department of Labor Wage and Hour Division. Investigators found that Danny Gargan and Gargan Stables Corp. paid certain employees at the racetracks, stables and other locations a fee per horse handled and not per hour as stated in their payroll records.

In addition to shortchanging workers’ hours and unlawfully denying them overtime when they worked more than 40 hours in a workweek, the division determined the employer falsified payroll records to give the appearance that employees were paid by the hour when they were not. The court affirmed the department’s assessment of $37,368 in civil money penalties for willful wage theft and for falsifying records in violation of the Fair Labor Standards Act.

Following the division’s investigation and litigation by the department’s Office of the Solicitor, the court entered a consent judgment ordering the defendants to pay $66,315 in back wages and an equal amount in liquidated damages to the affected workers.

The judgment also requires the defendants to:

• Hire, at their own expense, a qualified compliance monitor to review their payroll and record keeping practices to ensure FLSA compliance, recommend changes to any non-compliant practices and consult with the defendants on any changes to their time or recordkeeping practices.
• Implement and use an electronic timekeeping system to ensure accurate recording of employees’ work hours.
• Train employees, in languages they understand, on the proper use of the timekeeping system and pay them for that training time.
• Post and provide employees with information and documents in English and Spanish about the FLSA’s requirements and their FLSA rights.

The order also permanently enjoins the defendants from inaccurately editing or altering employees’ work hours, having employees work “off the books,” retaliating or discriminating against employees who engage in FLSA protected activity and requiring or asking employees to kick back wages.

“The defendants took advantage of their employees by underpaying them and then tried to hide this illegal behavior by falsifying their payroll records,” said Wage and Hour Division District Director David An in Westbury, New York. “Gargan Stables Corp. and Danny Gargan have learned that disregard for federal labor laws and their employees’ rights have costly consequences. We suggest other employers review their own pay practices to prevent violations. The Wage and Hour Division has many tools to assist employers and workers in understanding the law.”

“To put it plainly, underpaying employees is wage theft. The U.S. Department of Labor has, and will continue to pursue all necessary legal avenues to obtain proper compensation for employees and deter future violations by employers. This settlement – the latest of several with racing industry employers – compensates these underpaid workers and includes enhanced training and timekeeping requirements to change this employer’s behavior and prevent future violations,” said Regional Solicitor of Labor Jeffrey Rogoff in New York.

The division’s Long Island District Office conducted the original investigation. Senior Trial Attorney David J. Rutenberg of the regional Office of the Solicitor in New York litigated the case for the department.

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.

For more information about the FLSA and other laws enforced by the division, contact the agency’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.

Walsh v. Gargan Stables Corp. and Danny Gargan

Civil Action No. 21-cv-03390

ATLANTA – While the cotton gin has greatly increased the speed of crop production since its invention more than three centuries ago, the U.S. Department of Labor has found 8 out of 10 cotton gin employers it investigated in the Southeast region violated the Fair Labor Standards Act, Migrant and Seasonal Agricultural Worker Protection Act, or provisions of the H-2A visa program.

The department’s Wage and Hour Division identified violations in 81 percent of the 71 cotton gin investigations completed between November 2019 and March 2021 in the Southeast, home to some of the largest cotton producers in the nation. These investigations led the department to recover $282,626 in back wages and $10,785 in liquidated damages for 620 workers. The division also assessed $152,539 in civil money penalties to 37 employers.

The most common violations cited include:

• Failure to pay proper overtime and maintain accurate records as required by the FLSA.
• Failure to disclose actual terms and conditions and provide wage statements to workers.
• Failure to ensure housing safety and health and provide terms and conditions of occupancy as required by MSPA and the H-2A visa program.

Among the employers and recoveries made by the division are the following:

The division is engaged in an ongoing education, outreach and enforcement initiative to ensure that the Southeast cotton and agriculture industries operate within federal law. In addition to enforcement, Wage and Hour Division representatives are working with stakeholders to promote better understanding of the laws governing their industry and offering compliance assistance for those seeking to avoid costly violations. “Our investigations show that far too many cotton gin operators are not compliant with federal labor law,” said Wage and Hour Division Regional Administrator Juan Coria in Atlanta. “The U.S. Department of Labor’s Wage and Hour Division maintains a dogged commitment to ensure that cotton gin workers receive all of their hard earned wages as well as the worker protections they are due. We encourage employers and stakeholders in the ginning industry to review their policy and practices and contact us to request compliance assistance.”

The division offers multiple compliance assistance resources, including an agriculture compliance assistance toolkit, to provide employers the information they need to comply with the law. For more information about the Migrant and Seasonal Worker Protection Act, the H-2A Visa Program and other laws enforced by the division, contact the toll-free helpline at 866-4US-WAGE (487-9243). Callers can receive information confidentially in more than 200 languages. Learn more about the Wage and Hour Division.

Lea este aviso en Español

Who:               Wage and Hour Division

                          Occupational Safety and Health Administration

What:             Assistance and enforcement action in Arkansas after December 2021 tornadoes

When:            Ongoing

Where:           Northeast Arkansas

Background: The department’s Wage and Hour Division and Occupational Safety and Health Administration response teams are in the area affected by tornadoes on Dec. 10, 2021, to remind workers of their rights and to make sure employers understand their responsibilities when it comes to paying workers properly, and remind them of their responsibility for their workers’ safety and health.

In-person assistance is ongoing and a virtual outreach event is scheduled for today. OSHA enforcement actions are ongoing, and Wage and Hour enforcement actions begin Jan. 10.

Attend the virtual event at 1 p.m. CST today or call 202-735-3644, Code: 676497763#

Learn more about the Wage and Hour Division.

Learn more about OSHA.