Diversified Interiors of Amarillo Ltd. paid 63 current and former employees $76,417 in overtime
Posted on behalf of Phillips Law Group on Jan 23, 2013 in Workers' Compensation
AMARILLO -- Diversified Interiors of Amarillo Ltd. paid 63 current and former employees $76,417 in overtime back wages following an investigation by the U.S. Department of Labor's Wage and Hour Division.
An investigation found that the employer failed to pay employees required overtime premium for hours they worked beyond their scheduled workdays. Hours spent traveling to and from work sites, and any unscheduled hours that employees worked beyond their normal shifts, were paid at straight time rather than the time and-one-half of the employees regular rates of pay required by the FLSA when employees work beyond 40 hours in a workweek. Overtime hours that were scheduled had been paid at time and-one-half. Employees were shorted their overtime premium when the extra hours worked were unscheduled. The company also failed to maintain the required record keeping.
"Employers are legally obligated to properly compensate employees for all hours worked," said Cynthia Watson, regional administrator for the Wage and Hour Division in the Southwest. "This includes travel between the employers facility and the job sites, and any other hours worked, whether scheduled or not. Other employers should use this case as an opportunity to ensure that their pay practices are in compliance, and that their employees are being properly paid. The Department of Labor will not hesitate to investigate and to seek remedies in cases where they are not."
The violations of the overtime and record-keeping provisions are part of the Fair Labor Standards Act.