Regulators recover overtime pay for Iowa mechanics
Posted on behalf of Phillips Law Group on Feb 21, 2013 in Workers' Compensation
PELLA, Iowa (AP) - A tire company has paid 25 mechanics at six retail locations in Iowa nearly $217,000 in back wages after regulators found violations of federal overtime law.
The U.S. Department of Labor said Wednesday that DJR Holding Corp. made the payments to mechanics at Heartland Tire and Auto Center locations in Ankeny, Creston, Boone, and Waukee; Raceway Tire and Exhaust in Knoxville; and Muscatine Tire in Muscatine.
The Labor Department says its investigation determined that DJR Holding paid mechanics a weekly salary, but cut their pay when hours fell below 40 per week.
Regulators say the company did not increase their pay, however, when their hours exceeded 40 per week, which was required under the Fair Labor Standards Act.