DOL uncovers minimum wage violations in Frisco auto detailing company
Genter's Detailing in Frisco, Texas was recently investigated by the Department of Labor's Wage and Hour Division (WHD) and found in violation of record keeping and minimum wage standards. The Fair Labor Standards Act (FLSA) establishes that all employers must pay their covered workers at least $7.25 per hour, unless there is another applicable minimum wage standard in the state. Businesses must also pay time-and-a-half their standard hourly rate if staff members work more than 40 hours each week. Companies must also maintain detailed accounts of employee attendance, pay rates and keep identifying information on record.
According to the investigation, Genter's Detailing, which provided car washing and detailing services to Dallas, Austin and Katy dealerships, was not in compliance with these standards. The WHD investigators claim the company deducted money from workers' paychecks for damage to dealership vehicles, which caused their hourly earnings to fall below minimum wage.
"All employees are entitled to receive the wages they have rightfully earned," said Cynthia Watson, the Southwest division's regional administrator for the Wage and Hour Division. "This is illegal and unacceptable. Our department will use every enforcement tool at our disposal to ensure that workers are properly paid, and that employers who violate the law make restitution."
The FLSA explains that these types of violations are common in the car wash and auto detailing industry. Companies can avoid these issues by investing in payroll processing software that shows employees' hourly earnings, so employers know whether or not they are meeting federal and state standards.
According to the investigation, Genter's Detailing, which provided car washing and detailing services to Dallas, Austin and Katy dealerships, was not in compliance with these standards. The WHD investigators claim the company deducted money from workers' paychecks for damage to dealership vehicles, which caused their hourly earnings to fall below minimum wage.
"All employees are entitled to receive the wages they have rightfully earned," said Cynthia Watson, the Southwest division's regional administrator for the Wage and Hour Division. "This is illegal and unacceptable. Our department will use every enforcement tool at our disposal to ensure that workers are properly paid, and that employers who violate the law make restitution."
The FLSA explains that these types of violations are common in the car wash and auto detailing industry. Companies can avoid these issues by investing in payroll processing software that shows employees' hourly earnings, so employers know whether or not they are meeting federal and state standards.
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