Boston jewelry company pays employees $15,000 in back wages

Following an investigation by the U.S. Department of Labor's Wage and Hour Division, Boston-based jewelry company Shreve, Crump & Low agreed to pay 12 employees $15,000 in back wages for payroll violations, according to the Boston Globe. The company came under scrutiny last spring as employees came forward, alleging they weren't being paid appropriately for overtime employee attendance or receiving the commissions they were promised.

When the accusations first surfaced, owner David Walker said the company was complying with the Fair Labor Standards Act (FLSA) in good faith, albeit the provisions and exemptions were sometimes hard to understand, as reported by the Boston Globe in a separate article.

The company had been struggling with finances as the result of lower luxury goods spending during the recent recession, the source explains. Some employees were forced to take pay cuts and accept reduced benefits so they company could stay afloat. Now, Shreve, Crump & Low has paid employees the wages they were owed for the two-year period in question.

If employers are uncertain about the way labor right apply to their workers, they can consider outsourcing human resources or invest in a payroll processing program that automatically calculates the correct wages.