Cyrilla Landscaping in Coraopolis, outside Pittsburgh, has agreed to pay $39,091 in back wages to 29 workers following a Department of Labor investigation—plus another $39,091 because the feds found the violations were willful.
The investigation revealed that Cyrilla failed to pay the workers overtime when they worked more than 40 hours in a week. Those hours were recorded separately and paid from a separate account at the straight hourly rate.
In some cases, the company paid the employees in cash without recording their hours worked. All those practices violate the Fair Labor Standards Act.
Note: Separate accounts, two sets of paychecks and time cards and other payroll gymnastics are smoking guns to federal investigators. They know no employer would go to such trouble unless it was illegally covering up shady pay practices.
Always play it straight when it comes to payroll and time records.
- Payroll records: Know exempt, nonexempt timekeeping requirements
- Your best defense against meritless lawsuits: Proof that your processes are fair, transparent
- Even after Walmart, some class-actions are legit
- Know the FLSA's requirements: Small, local employers may well have to comply
- Might we be covered by Minnesota's OT rules?