Uniform deductions land flight services providers in violation of FLSA

A recent investigation by the Department of Labor's Wage and Hour Division (WHD) could cost Cleveland, Ohio-based Flight Services and Systems approximately $53,000 in back pay and penalties. The WHD assessed the employer's payroll practices at a Denver airport and found employees were allegedly not receiving all of the compensation they were owed for their time and attendance.

Flight Services and Systems, a firm that provides airports with employees, was deducting employees' uniform costs from their paychecks, which caused some of their earnings to fall below the federal minimum wage standards, the WHD claimed. On top of those issues, the company was also keeping inaccurate records of employee attendance, which violated recordkeeping provisions.

The employer agreed to pay 183 employees a total of $12,720 to recover lost wages, but has also been assessed for an additional $40,260 in penalties because similar violations had been discovered in the past and might be considered willful in nature.

"The company previously was cited for similar FLSA violations and has reneged on its promise to maintain compliance with the law," said Cynthia Watson, the regional administrator for the Wage and Hour Division in the Southwest.