Following an investigation by the United States Department of Labor, C and K Supply has agreed to pay more than $433,000 in minimum wage and overtime back wages to 124 current and former workers.
C and K Supply does business as C and K Rentals in the city of Cuero, Texas, renting and leasing equipment to oil companies. Many employees on its payroll had been misclassified as independent contractors and wrongfully exempted from coverage under the Fair Labor Standards Act that guarantees minimum wage and overtime compensation.
Specifically, gate guards were found to be receiving a daily wage rate that was below the federal minimum wage and oil equipment cleaners were not paid time-and-a-half for working more than 40 hours per week.
The company was also cited for keeping insufficient records of employee attendance, wages and employment conditions. It has agreed to pay all back wages and maintain compliance with federal regulations in the future.
"The resolution of this case demonstrates the Labor Department’s commitment to ensuring accountability and compliance under the law," said Cynthia Watson of the Wage and Hour Division in the Southwest.
Time and attendance also recently became an issue when an employee of Tyler-based Hospice of East Texas filed suit over unpaid overtime wages, the Southeast Texas Record reports.
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