Happy Hands Carwash sued for not-so-pleasant payroll practices
The Department of Labor recently filed a lawsuit against Happy Hands Carwash, doing business as Z & H Happy Hands Corp. An investigation by the DOL's Wage and Hour Division revealed the employer was not complying with Fair Labor Standards Act (FLSA) overtime, minimum wage and recordkeeping provisions.
In fact, investigators found the company was deliberately violating the FLSA and denying employees the wages they had earned. Rather than compensating workers for their total time attendance, which was tracked when they swiped magnetic cards through a timeclock, the employer went into the system and tampered with the data. The altered timesheets docked hours that employees had actually worked.
Due to these violations, Happy Hands employees were usually working 40 hours a week and receiving just $3.50 an hour on average, said San Diego's Wage and Hour Division director Kenneth Morrison. The DOL is seeking back wages for unpaid overtime and minimum wage in addition to liquidated damages to recover lost earnings and send a message to other employers who might be underpaying workers.
"This lawsuit sends the very clear message that we will do what it takes to protect the rights and pay of low-wage, vulnerable workers," Morrison said.
In fact, investigators found the company was deliberately violating the FLSA and denying employees the wages they had earned. Rather than compensating workers for their total time attendance, which was tracked when they swiped magnetic cards through a timeclock, the employer went into the system and tampered with the data. The altered timesheets docked hours that employees had actually worked.
Due to these violations, Happy Hands employees were usually working 40 hours a week and receiving just $3.50 an hour on average, said San Diego's Wage and Hour Division director Kenneth Morrison. The DOL is seeking back wages for unpaid overtime and minimum wage in addition to liquidated damages to recover lost earnings and send a message to other employers who might be underpaying workers.
"This lawsuit sends the very clear message that we will do what it takes to protect the rights and pay of low-wage, vulnerable workers," Morrison said.
All data and information provided on this news blog is for informational purposes only. Infinisource makes no representations as to accuracy, completeness, suitability, or validity of any information on this site and will not be liable for any errors, omissions, or delays in this information or any losses, injuries, or damages arising from its display or use. All information is provided on an as-is basis. Information regarding employment suits and other legal action is not updated after publication, and may not be current.