GM Sager Construction Inc. has agreed to
pay $146,092 in overtime back wages and an equal amount in liquidated damages
to 26 workers after an investigation by the U.S. Department of Labor found the
Pomona, Calif.-based concrete and asphalt paving contractor in violation of the
Fair Labor Standards Act’s overtime and record-keeping provisions. The employer
also agreed to record all hours worked accurately, including travel time.
“Employers must record and pay for all
hours of work,” said Daniel Pasquil, director of the Wage and Hour Division’s
West Covina District Office. “This includes travel time between work sites. We
urge all employers to review their pay practices to ensure compliance.”
Investigators established that GM Sager
Construction Inc. failed to pay 26 employees for their travel time between the
last job site to the company’s yard at the end of each day and for work once
employees returned to the yard. The employer failed to record and count this
time as hours worked.
The FLSA requires that covered,
nonexempt employees be paid at least the federal minimum wage of $7.25 per
hour. Earnings may be determined on a piece-rate basis, but overtime pay must
be computed using the employee’s average hourly rate. The law also requires
employers to maintain accurate records of employees’ wages, hours and other
conditions of employment, and prohibits employers from retaliating against
employees who exercise their rights under the law.
For more information about the FLSA and
other federal wage laws, call the division’s toll-free helpline at 866-4US-WAGE
(487-9243) or its West Covina office at 626-966-0478. Information is also
available at www.dol.gov/whd
