Colorado manufacturing company found in violation of FLSA
Colorado Precision Manufacturing, based in Arvada, Colorado, was recently investigated by the Department of Labor's Wage and Hour Division and found in non-compliance with recordkeeping, minimum wage and overtime standards. As a result, 10 machinists have been paid $39,082 in back wages.
The Fair Labor Standards Act (FLSA) guarantees workers at least $7.25 per hour for all of their employee attendance as well as time-and-a-half if they are on the clock for more than 40 hours during a single pay period. Employers are also required to maintain accurate records of hours worked to ensure employees receive the wages they are owed.
However, workers at Colorado Precision Manufacturing were not paid premium overtime wages. Instead, they received straight pay - the standard $7.25 per hour - for all of their time and attendance even if it went beyond 40 hours. The employer also made deductions from employees' paychecks to cover the costs of tools and other supplies used on the job, including calipers and micrometers, which caused hourly earnings to fall below federal minimum wage.
To prevent FLSA violations, employers can install payroll processing systems that accurately track employees' work time and calculate correct wages.
The Fair Labor Standards Act (FLSA) guarantees workers at least $7.25 per hour for all of their employee attendance as well as time-and-a-half if they are on the clock for more than 40 hours during a single pay period. Employers are also required to maintain accurate records of hours worked to ensure employees receive the wages they are owed.
However, workers at Colorado Precision Manufacturing were not paid premium overtime wages. Instead, they received straight pay - the standard $7.25 per hour - for all of their time and attendance even if it went beyond 40 hours. The employer also made deductions from employees' paychecks to cover the costs of tools and other supplies used on the job, including calipers and micrometers, which caused hourly earnings to fall below federal minimum wage.
To prevent FLSA violations, employers can install payroll processing systems that accurately track employees' work time and calculate correct wages.
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