U.S. Department of Labor Investigation Results in Houston Pool Builder Paying $115,786 in Back Wages

HOUSTON, TX – After an investigation by the U.S. Department of Labor’s Wage and Hour Division, a Houston-based pool construction company, South Bay Gunite Inc., will pay $115,786 in back wages to 68 employees to resolve violations of the overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

Wage and Hour Division investigators found South Bay Gunite Inc. violated the overtime provision of the FLSA when it paid employees flat salaries per week or flat rates per job completed without regard to the number of hours they had worked. This practice created overtime violations when drivers, mechanics, finishers, and others worked more than 40 hours in a workweek without being paid additional overtime. The company violated recordkeeping requirements by failing to maintain accurate records of the number of hours employees worked each day and each week.

“Employers have a responsibility to keep track of the hours their employees work, and to pay workers the wages and overtime they are owed,” said Betty Campbell, Wage and Hour Division Southwest Regional Administrator. “The Department of Labor is committed to proactively educating employers about the requirements of the law, and to providing the tools they need to comply. The Department’s combination of enforcement and compliance activities protect workers and level the playing field for law abiding employers.”

Workers and employers with questions about the FLSA or any of the federal wage laws administered by the Division should call the Agency’s toll-free helpline at 866-4US-WAGE (487-9243). All calls are confidential.

More information is available online at http://www.dol.gov/whd/.