Labor & Employment Law — 10/27/09

United Renovations LP to pay employees $300,000 in back wages for minimum wage and overtime violations

The Department of Labor (DOL) has announced that United Renovations, a construction company based in Carrollton, Texas, has agreed to pay $300,000 in back wages to 57 employees at worksites in Portland and Salem, Oregon, for violations of minimum wage and overtime laws, as required by the Fair Labor Standards Act (FLSA).

An investigation, conducted by the DOL Wage and Hour Division in Seattle, found that 57 construction workers were not paid the federal minimum wage or for overtime hours worked as required under the FLSA. The investigation concluded that United Renovations and its subcontractors on the job were joint employers of the affected workers.

Payment of the back wages to workers will be made on an installment plan. The company also agreed to comply with FLSA provisions in the future.

The FLSA requires that employees be paid the federal minimum wage of $7.25 per hour for all hours worked, and time and one-half their regular rates of pay for hours worked over 40 in a week. Under the law, employers must also maintain accurate time and payroll records.

More information on the Fair Labor Standards Act (FLSA) and other laws enforced by the Wage and Hour Division is available at http://www.wagehour.dol.gov. The division's Portland District Office can be reached at 503-326-3057.

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