Oakland trucking company restores nearly $2M to 401(k)s — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily

Oakland trucking company restores nearly $2M to 401(k)s

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in Compensation and Benefits,Human Resources

Oakland-based Lange Trucking and its owners shortchanged their employees’ 401(k) program by nearly $2 million, according to a U.S. Department of Labor Wage and Hour Division investigation.

The money is now back in the benefits plan coffers.

The company and its officers paid $500,000 toward the shortfall. The company has since been sold to Minnesota-based Hoovestol, Inc., which made up the difference.

Lange Trucking moved mail for the U.S. Postal Service. Companies providing services for the federal government must meet prevailing wage and benefits standards for their employees as dictated by the McNamara-O’Hara Service Contract Act.

WHD investigators note that Hoovestol cooperated fully with the investigation and has voluntarily instituted programs to provide greater transparency for its employees.

Note: Companies providing services to the government generally face greater scrutiny than other employers.

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