Court says Army contractors must fulfill overtime pay
The U.S. Department of Labor's Wage and Hour Division ruled that three Army contractors must complete their obligation to compensate workers for their earned overtime pay, the Los Angeles Times reports.
The ruling came down after the contractors failed to meet payments during times when employees were considered "on-call," meaning times when they were unexpectedly pulled away from personal time to work.
Three businesses, CALNET of Reston, Virginia, Acclaim Technical Services of Huntington Beach, California, and McNeil Technologies of Springfield, Virginia, were found to be in violation of the Fair Labor Standards Act because they did not properly compensate for overtime pay.
"Contractors and subcontractors hired to perform services for the U.S. military have a clear obligation to comply thoroughly and consistently with federal law," Labor Secretary Hilda L. Solis said in a statement. "As we do with all other employers, we will hold these businesses accountable for paying their workers for all hours, including any overtime, spent on the job."
In all, the companies were forced to pay slightly more than $1 million to cover costs between October 2008 and October 2010, according to the Times.
The ruling came down after the contractors failed to meet payments during times when employees were considered "on-call," meaning times when they were unexpectedly pulled away from personal time to work.
Three businesses, CALNET of Reston, Virginia, Acclaim Technical Services of Huntington Beach, California, and McNeil Technologies of Springfield, Virginia, were found to be in violation of the Fair Labor Standards Act because they did not properly compensate for overtime pay.
"Contractors and subcontractors hired to perform services for the U.S. military have a clear obligation to comply thoroughly and consistently with federal law," Labor Secretary Hilda L. Solis said in a statement. "As we do with all other employers, we will hold these businesses accountable for paying their workers for all hours, including any overtime, spent on the job."
In all, the companies were forced to pay slightly more than $1 million to cover costs between October 2008 and October 2010, according to the Times.
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