Deerebuilt's overtime practices leave workers underpaid
Following an investigation by the Department of Labor's Wage and Hour Division, Ardmore, Oklahoma-based manufacturer Deerebuilt has paid 112 employees a total of $85,105 in back wages for unpaid overtime. The audit revealed time and attendance violations of the Fair Labor Standard's Act (FLSA) overtime and recordkeeping provisions.
Specifically, the employer was paying employees straight time for their hours worked, whether or not those hours fell within the regularly scheduled shifts or exceeded 40 hours in a week. The FLSA requires companies to pay at least time-and-half the standard hourly rate for any excess employee attendance.
"The department holds employers accountable when they do not pay their workers properly," said Cynthia Watson, the Wage and Hour Division's Southwest regional administrator. "In this case, employees worked up to 60 hours a week without overtime compensation. This is illegal and unacceptable."
The manufacturing industry is also vulnerable to labor rights violations when it comes to accurately tracking hours worked. Any time during which employees are under the control of their employers is considered compensable, whether that means waiting for more tasks to be assigned or cleaning up after shifts have ended. It can be difficult to account for time and attendance on worksites, so employers might consider investing in mobile payroll processing systems that enable workers to punch in and out no matter where they are.
Specifically, the employer was paying employees straight time for their hours worked, whether or not those hours fell within the regularly scheduled shifts or exceeded 40 hours in a week. The FLSA requires companies to pay at least time-and-half the standard hourly rate for any excess employee attendance.
"The department holds employers accountable when they do not pay their workers properly," said Cynthia Watson, the Wage and Hour Division's Southwest regional administrator. "In this case, employees worked up to 60 hours a week without overtime compensation. This is illegal and unacceptable."
The manufacturing industry is also vulnerable to labor rights violations when it comes to accurately tracking hours worked. Any time during which employees are under the control of their employers is considered compensable, whether that means waiting for more tasks to be assigned or cleaning up after shifts have ended. It can be difficult to account for time and attendance on worksites, so employers might consider investing in mobile payroll processing systems that enable workers to punch in and out no matter where they are.
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