Boston Hides & Furs faces lawsuit for hairy payroll practices
Boston Hides & Furs, a wholesale animal hide business from Chelsea, Massachusetts, was recently investigated by the United States Department of Labor (DOL) and now faces a lawsuit that aims to collect $500,000 in back wages for 18 employees who were not properly paid for their time and attendance.
The investigation by the DOL's Wage and Hour Division alleges the employer disregarded state and federal labor laws, allowing staff members to work 10 hour days six days each week without the appropriate overtime remuneration. The Fair Labor Standards Act requires businesses to pay all covered employees at least $7.25 per hour for time and attendance up to 40 hours per week and time-and-a-half their standard hourly earnings for any time beyond that.
Boston Hides & Furs only paid the affected employees between $50 and $70 each day regardless of their total work time, the lawsuit alleges. On top of compensation issues, the investigation also revealed the company was not keeping accurate records of employee attendance and has now been accused of retaliating against workers who cooperated with WHD representatives. When the investigators arrived at the location, employees were told to hide in a nearby house to avoid answering questions about the company's payroll practices, the DOL claims.
Employers who are in compliance with federal and state labor standards can use a timeclock or another timekeeping system to accurately track employee attendance through proper work records.
The investigation by the DOL's Wage and Hour Division alleges the employer disregarded state and federal labor laws, allowing staff members to work 10 hour days six days each week without the appropriate overtime remuneration. The Fair Labor Standards Act requires businesses to pay all covered employees at least $7.25 per hour for time and attendance up to 40 hours per week and time-and-a-half their standard hourly earnings for any time beyond that.
Boston Hides & Furs only paid the affected employees between $50 and $70 each day regardless of their total work time, the lawsuit alleges. On top of compensation issues, the investigation also revealed the company was not keeping accurate records of employee attendance and has now been accused of retaliating against workers who cooperated with WHD representatives. When the investigators arrived at the location, employees were told to hide in a nearby house to avoid answering questions about the company's payroll practices, the DOL claims.
Employers who are in compliance with federal and state labor standards can use a timeclock or another timekeeping system to accurately track employee attendance through proper work records.
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