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DOL Wage & Hour Division resolves 4 separate FLSA cases and files 1 lawsuit

2011-02-13

Aaron Auto Glass, Inc.

The Department of Labor (DOL) Wage and Hour Division (WHD) has recovered $199,464 in back wages for 30 current and former workers of Aaron Auto Glass Inc, in Chicago, IL.  The company violated the Fair Labor Standards Act (FLSA) for failing to pay federal minimum wages and for failing to pay for overtime hours.  The company also failed to maintain records of the number of hours worked by employees.

Mariachi Mexican Restaurants

The DOL recovered $397,703 in back wages for 129 workers at nine Mexican restaurants in Ohio under the same ownership.  The employees of the nine restaurants were denied minimum wage and overtime pay in violation of the FLSA.  The restaurant chain was also fined $11,000 in civil money penalties for willful and repeat violations of the FLSA.
 
The DOL conducted employee interviews and reviewed time and payroll records to determine the violations.  The chain failed to compensate tipped employees with a minimum hourly rate for hours worked and to pay overtime to salaried employees who are covered by the FLSA, including servers, cooks, dishwashers and bussers.  These employees were paid cash salaries and worked as many as 65 hours per week without overtime pay and the servers only received tips.  The restaurants also failed to maintain accurate pay and time records.
 
UnitedHealthcare
 
The DOL recovered $934,551 in overtime back wages for 479 employees of UnitedHealthcare’s Hartford, CT location and $104,280 in civil money penalties for violations of the FLSA.  The WHD determined that the employees have been incorrectly classified as exempt from the FLSA and consequently denied pay for all hours worked. The Hartford location specializes in IT, finance, actuarial and underwriting services.
 
Interviews were conducted with 90 employees and time and payroll records for 21,000 employees were reviewed.  It was determined that UnitedHealthcare incorrectly classified employees in several occupational categories as administratively exempt from FLSA.  Also, recordkeeping violations were discovered, as records of the number of hours worked were not properly maintained for those employees who were misclassified as exempt.
 
Treviicos-Soletanche JV
 
The DOL recovered $104,160 in overtime back wages for 24 employees of Treviico-Solentanche JV who were working on a public repair projected funded by the American Recovery and Reinvestment Act (ARRA).   Treviico-Solentanche JV is a joint venture between Italian company Treviicos and French company Solentance Bachy.  The joint venture was awarded a $340 million contract by the U.S. Army Corps of Engineers to perform construction and repair operations for the Wolf Creek Dam rehabilitation project in Jamestown, KY.
 
Employees were interviewed and time and payroll records were reviewed to determine that 24 administrative and technical support workers were incorrectly classified as exempt from the FLSA. 
 
Treviicos-Soletanche JV agreed to pay the full amount of back wages, properly classify the affected employees as nonexempt under the Fair Labor Standards Act, and maintain accurate time and payroll records for all employees in accordance with the law.
 
Kinder Morgan Inc and Kinder Morgan Energy Partners LP
 
The DOL filed a lawsuit against Houston-based Kinder Morgan Inc and Kinder Morgan Energy Partners LP for failing to pay more than $1 million in overtime pay to approximately 4,500 current and former operators, technicians, maintenance workers, laborers and administrative non-exempt employees in violation of the FLSA.  Kinder Morgan Inc, owner of Kinder Morgan Energy Partners LP, is one of the largest pipeline transportation and energy storage companies in North America.