Viva Auto Group in El Paso, Texas, recently agreed to pay 480 employees $797,405 in back wages for unpaid minimum wages and overtime. The Department of Labor's Wage and Hour Division investigated the company and found labor violations in eight locations across the El Paso area, including Viva Auto Group, Viva Nissan on Zaragoza Road, Viva Mitsubishi, and Viva Kia.
According to the investigation, the employer was not properly paying workers for
time attendance during training programs. The Fair Labor Standards Act (FLSA) maintains employees must be paid at least minimum wage for any training programs required by their employers. On top of that, employees' wages were sometimes illegally docked to cover fees for family and friend referrals.
"Employers need to understand that employees must be paid for all hours worked, which includes paying for required training," said Cynthia Watson, regional administrator for the Wage and Hour Division in the Southwest. "We are pleased these employees will receive the wages they have rightfully earned."
Employers can avoid FLSA violations by making sure they have a clear understanding of the provisions that apply to their business and using the tools necessary to pay workers accurately, such as payroll processing software.
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