America's Best Value Inn & Suites in Charlotte caught for improper payroll practices
The Department of Labor (DOL) recently announced an investigation of Veer Investments LLC of Charlotte, which was operating an America's Best Value Inn & Suites, revealed that the employer was not complying with the Fair Labor Standards Act (FLSA) overtime, minimum wage or recordkeeping provisions.
Maxine Mills, the assistant district director of the Wage and Hour Division's Charlotte Area office explained that since the hotel industry is often one of the most vulnerable to labor rights violations, employers should take notice of their payroll practices and clean up any non-compliant policies.
In the case of this hotel operation, employees were not compensated for three days of required training time, they did not receive the time-and-a-half wages they were owed for overtime and housekeepers were paid $3 per room rather than the minimum wage they were owed by law. The employer must now pay 34 employees $37,394 in back wages.
"Employers are required to pay employees for all hours worked, including training and overtime," said Maxine Mills, assistant district director of the division's Charlotte Area Office.
If employers are concerned about the potential for violations, they can update their payroll systems with an advanced timeclock that automatically calculates the correct wages.
Maxine Mills, the assistant district director of the Wage and Hour Division's Charlotte Area office explained that since the hotel industry is often one of the most vulnerable to labor rights violations, employers should take notice of their payroll practices and clean up any non-compliant policies.
In the case of this hotel operation, employees were not compensated for three days of required training time, they did not receive the time-and-a-half wages they were owed for overtime and housekeepers were paid $3 per room rather than the minimum wage they were owed by law. The employer must now pay 34 employees $37,394 in back wages.
"Employers are required to pay employees for all hours worked, including training and overtime," said Maxine Mills, assistant district director of the division's Charlotte Area Office.
If employers are concerned about the potential for violations, they can update their payroll systems with an advanced timeclock that automatically calculates the correct wages.
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