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☆ A million more U.S. workers can now get overtime pay: 'Most employers absolutely do want to get this right'
▼ + stars: | 2024-07-11 | by ( Gili Malinsky | ) www.cnbc.com time to read: +3 min

On July 1, more than a million workers became eligible for overtime pay. The 1938 Fair Labor Standards Act established a 40-hour workweek with certain workers eligible for overtime pay of 1.5 times their regular wage if they work past the 40-hour mark. Before the rule change on July 1, only around 15% of salaried workers were eligible for overtime pay. Up until July 1, salaried workers making $684 per week, or $35,568 per year, or more were exempt from getting overtime pay. Before the rule change, some workers making less than $107,432 per year could also qualify for overtime pay, though the parameters for qualifying are a little bit different from those given to low-wage workers.

Persons: Judy Conti, Conti, Here's, DOL, Jessica Looman Organizations: Labor, Department of Labor, National Employment Law, Labor Department, Fair Labor Locations: DOL

☆ Department of Labor sues Hyundai over child labor
▼ + stars: | 2024-05-31 | by ( Peter Valdes-Dapena | Ramishah Maruf | ) edition.cnn.com time to read: +2 min

In a new complaint, the department alleges Best Practice, a staffing agency, sent the child to work at SMART Alabama, which provided car parts to Hyundai. The complaint alleges all three companies were responsible for employing the child. “We are reviewing the new lawsuit and intend to vigorously defend the company,” Hyundai said in a statement provided to CNN. The complaint, filed in an Alabama federal court, seeks an order requiring the companies to release any profits related to the use of child labor as well as an order to stop any future use of child labor. Hyundai and its suppliers had been the subjects of a series of investigations by news service Reuters into the use of child labor in Alabama.

Persons: Jessica Looman, ” Hyundai, “, Hyundai Organizations: CNN, United States Department of Labor, Hyundai, SMART Alabama, Fair Labor, Reuters Locations: Alabama, United States, America

☆ L.A. poultry firm hired kids as young as 14 to work with sharp knives, Labor Dept. says
▼ + stars: | 2023-12-04 | by ( Laura Strickler | ) www.cnbc.com time to read: +3 min

"The Exclusive Poultry and owner Tony Bran willfully withheld workers' hard-earned wages, endangered young workers and retaliated against employees to conceal their wrongdoing," said Jessica Looman, administrator of the Labor Department's Wage and Hour Division. Labor investigators repeatedly went to the company's poultry processing locations and said in affidavits they saw young workers they estimated were 14 to 17 years of age, but the workers refused to talk and would run from them. The Labor Department told NBC News it subsequently confirmed that some of the workers were as young as 14. Workers allegedly told investigators that minors who worked at the company were hidden in closets and bathrooms when the investigators arrived so they would not be found. In fall 2022, the department found more than 100 children, some as young as 13, cleaning slaughterhouses for a Midwestern firm.

Persons: Tony Bran, Jessica Looman, Anthony McClaren, McClaren, Bran, Biden Organizations: Labor Department, Aldi, Ralphs, Kroger, Labor, NBC, NBC News, Department of Labor, Workers Locations: Los Angeles

REUTERS/Seth Wenig/File Photo Acquire Licensing RightsAug 30 (Reuters) - The administration of U.S. President Joe Biden on Wednesday moved to extend mandatory overtime pay to 3.6 million salaried workers, going even further than an Obama-era rule that was struck down in court. The proposed rule would not affect overtime eligibility for workers who are paid hourly. Salaried workers who earn above the salary threshold may still be eligible for overtime pay if they do not primarily perform management-related duties. But a federal judge in Texas the following year said that ceiling was so high that it could sweep in some management workers who are exempt from overtime pay protections. Ben Brubeck, vice president of construction trade group Associated Builders and Contractors, on Wednesday called the proposed rule disappointing.

Persons: Seth Wenig, Joe Biden, Obama, Trump, Jessica Looman, Looman, Ben Brubeck, DOL, Brubeck, Daniel Wiessner, Bernadette Baum, Bill Berkrot Organizations: Brooklyn, REUTERS, U.S, U.S . Department of Labor, Labor Department, Workers, Associated Builders and Contractors, Thomson Locations: New York, California, Texas, Albany , New York

☆ Under new Biden proposal, salaried workers earning up to $55,000 per year could get overtime pay
▼ + stars: | 2023-08-30 | by ( Jennifer Liu | In Jljenniferliu | ) www.cnbc.com time to read: +3 min

Some 3.6 million salaried workers may soon be able to earn overtime pay, according to a new proposal from the Biden administration. Currently, overtime pay applies primarily to hourly workers who log more than 40 hours in one week. The new proposal raises that threshold so non-hourly professionals can earn overtime if they earn less than $55,068 per year, or $1,059 per week. Roughly 15% of salaried workers are now entitled to overtime pay, the AP reports citing data from the Economic Policy Institute. If the new rule passes, nearly 30% of salaried workers would become eligible for overtime, though that's far lower than the 60% of salaried workers who were entitled to overtime pay in the 1970s, per the EPI.

Persons: Biden, Jessica Looman, Obama, Trump, Warren Buffett Organizations: Labor, Economic, Institute, Federal Register, Labor Department, Republicans Locations: U.S, New York, California

☆ Pennsylvania battery maker ordered to pay $22 million in back wages after DOL rules it denied thousands of workers overtime
▼ + stars: | 2023-05-11 | by ( Ryan Hogg | ) www.businessinsider.com time to read: +3 min

A Pennsylvania battery maker was ordered to pay 7,500 workers $22 million in unpaid overtime. The DOL said East Penn Manufacturing Company Inc. didn't pay employees for their time spent preparing to work in hazardous conditions. During its investigation, the DOL found that East Penn employees were only being paid for their contracted 8-hour shifts. In a statement to Insider, a spokesperson for East Penn said the jury also found that East Penn did not act in a knowing or reckless disregard of the law. "East Penn appreciates the time and attention of the jurors over the course of this lengthy andcomplex trial.

☆ Sanitation company pays $1.5 million penalty for hiring children for 'hazardous' factory work like cleaning beef bone saws, officials say
▼ + stars: | 2023-02-18 | by ( Jordan Hart | ) www.businessinsider.com time to read: +5 min

The US Labor Department filed a complaint against PSSI following a three-month investigation into unlawful child labor claims in November. PSSI was charged $1.5 million in penalties as a result of the investigation, officials said. The department accused the sanitation contractor of having employees as young as 13 working "hazardous" overnight shifts. The DOL filed a complaint seeking a temporary restraining order and injunction against the food safety sanitation service following its investigation. The company added that no children are currently employed, and many hadn't worked for the business in years.

☆ More than 100 children worked in dangerous conditions at slaughterhouse cleaning firm: US Labor Department
▼ + stars: | 2023-02-17 | by ( Ramishah Maruf | ) edition.cnn.com time to read: +3 min

The Kieler, Wisconsin, based company employed the children to clean meat processing equipment including back saws, brisket saws and head splitters. The company said none of the underage workers are employed at the company today, and that “many” of them had worked there years ago. In November, a complaint was filed in the US District Court of Nebraska alleging that Packers Sanitation illegally employed at least 31 children to clean dangerous power equipment. A federal judge issued a temporary restraining order barring the company from committing further child labor law violations. In December, Packers agreed to take “significant steps” to comply with labor laws after entering into a consent order and judgment.

☆ A Los Angeles restaurant chain was fined $1.6 million for failing to pay overtime to 83 staff and for keeping false records
▼ + stars: | 2023-01-08 | by ( Ryan Hogg | ) www.businessinsider.com time to read: +2 min

A Thai-restaurant chain in LA was fined more than $1.6 million after failing to pay staff overtime. The DOL found that 83 employees at Ocha Classic and Vim Restaurant were owed more than $800,000. The DOL personally fined Boonyindee, who operates six Ocha Classic chains and one Vim Restaurant outlet, an additional $62,000 for the "willful nature" of his violations. According to an LA Times report from last year, diners often queue up for an hour for a table at Ocha Classic. Ocha Classic didn't respond to a request for comment from Insider.

☆ Krispy Kreme agrees to pay workers more than $1.1 million over wage theft claims
▼ + stars: | 2022-11-17 | by ( Charles R. Davis | ) www.businessinsider.com time to read: +2 min

Krispy Kreme has agreed to pay 516 workers more than $1.1 million in back wages and damages. Federal investigators had uncovered "widespread and systemic" wage theft at the company. According to investigators, the North Carolina-based company failed to include those employees' monthly bonuses when calculating their overtime rate. "Employers who fail in their obligation to pay minimum wage and overtime wages as the law requires make it harder for workers and their families to make ends meet." Krispy Kreme, for its part, said it is "strongly committed" to paying its workers fairly.

☆ Here’s what a new Biden administration labor proposal would mean for independent contractors
▼ + stars: | 2022-10-11 | by ( Greg Iacurci | ) www.cnbc.com time to read: +4 min

Rudi_suardi | E+ | Getty ImagesThe Biden administration will soon issue a rule that may make it easier for workers to be considered "employees" instead of "independent contractors." Misclassification of workers as independent contractors — also known as freelancers or the self-employed — instead of employees is happening across many industries, like construction, health care, restaurants, retail and transportation, Labor Department officials said Tuesday. Employers may benefit financially by classifying their workforce as contractors instead of employees. These companies often classify gig workers as independent contractors. Federal action would especially be a boon to "low-wage, vulnerable workers," Labor Department officials said.

☆ A Philadelphia diner has been ordered to hand $1.35 million to workers after it used tips to pay wages
▼ + stars: | 2022-09-24 | by ( Ryan Hogg | ) www.businessinsider.com time to read: +2 min

A Philadelphia diner was ordered to pay $1.35 million in back wages and damages to 107 employees. The Department of Labor said Empire Diner used server tips to pay bussers' wages. The Department of Labor ruled that Empire Diner would have to pay back wages and damages to 107 servers at the restaurant. The restaurant told USA Today it intended to appeal against the decision. This week, a Texas BBQ restaurant was ordered to pay $230,000 to workers after their tips were shared with managers.

☆ A Pennsylvania home care agency was ordered to pay $1.2 million to workers who the DOL says didn't get correct overtime wages
▼ + stars: | 2022-04-21 | by ( Grace Dean | ) www.businessinsider.com time to read: +3 min

A home care agency in Pennsylvania failed to pay correct overtime wages to around 200 staff, the DOL said. A court ordered the company and its owner to pay $1.16 million in back wages and damages. From around April 2020, Nursing Care in Home started paying an overtime premium to some employees but not for others, the DOL said. Some employees' overtime premium was calculated incorrectly because the company didn't factor a $240 bi-weekly hazard pay bonus into their standard rate of pay, the DOL said. "The Wage and Hour Division will not tolerate the exploitation of care workers or attempts to circumvent federal overtime laws."

☆ A Texas farm owned by one of the US' biggest potato growers paid over $1.3 million in back wages to workers after denying them overtime pay
▼ + stars: | 2022-02-21 | by ( Grace Dean | ) www.businessinsider.com time to read: +4 min

A farm in Texas owned by one of the US' biggest potato growers didn't pay overtime premiums, the DOL found. The DOL says it had since recovered more than $1.3 million in back pay for almost 500 warehouse workers. The Dalhart, Texas farm – operated by Blaine Larsen Farms, one of the US' biggest potato growers – also failed to properly report an outbreak of COVID-19, the DOL said. The department said that it had recovered almost $1.35 million in back wages for the warehouse workers. The labor department said it also investigated Larsen Farms twice in 2020.

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