Home Employment Law Florida construction company pays $594K in back wages after overtime violations

Florida construction company pays $594K in back wages after overtime violations

by HR News America
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The U.S. Department of Labor has recovered $594,313 in back wages and damages for 419 workers at a Florida construction company that failed to pay required overtime compensation.

Federal investigators found that Amtex-NMS Inc., which operates as Southeast Modular Manufacturing in Leesburg, violated the Fair Labor Standards Act by not paying workers time-and-a-half their regular rate for hours over 40 per workweek. The company’s time-rounding methods improperly reduced hours, resulting in unpaid overtime wages.

Investigation reveals recordkeeping violations

The Wage and Hour Division investigation also uncovered violations of federal recordkeeping requirements. The employer failed to maintain complete and accurate records of workers’ wages and hours, investigators said.

Time rounding allows employers to calculate work hours in even increments, but the practice must be applied fairly to workers.

“Some employers use a pay method referred to as rounding to produce even and balanced calculations of hours worked. While it can be a useful tool, it is the responsibility of all employers to ensure the use of rounding in their time systems is balanced and does not always round in the employer’s favor,” said Wage and Hour Division District Director Vilma Bell in Orlando, Florida.

Resources available for employers and workers

Bell encouraged workers and employers to contact their nearest Wage and Hour Division office with questions about rights and obligations under federal wage laws.

The Department of Labor offers several resources to help ensure accurate timekeeping and pay practices. Workers and employers can use a free Android and iPhone Timesheet App to track hours worked and verify pay accuracy.

Those with questions can contact the Wage and Hour Division at its toll-free number, 1-866-4-US-WAGE (487-9243). The division also maintains a search tool for workers who believe they may be owed back wages collected by the agency.

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