Wage and Hour Division (WHD)

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SULPHUR, La. -- LA Labor LLC in Sulphur, La., has agreed to pay $44,343 in back overtime wages to 18 current and former employees after a U.S. Department of Labor investigation found the company failed to pay the appropriate overtime wages as required by the Fair Labor Standards Act (FLSA).

“Workers are entitled to be paid their full wages, including required overtime pay, for every hour worked,” said Barbara Hicks, district director for the department’s Wage and Hour Division in New Orleans. “This company paid straight time to employees who worked more than 40 hours in a workweek.”

The investigation, covering the period from Jan. 1, 2006, to Aug. 8, 2007, concluded that LA Labor, owned and operated by Matt Redd and Andrew Vanchiere, failed to pay temporary workers time and one-half their regular rates of pay for hours worked over 40 in a workweek. In addition, the company failed to maintain required recordkeeping.

LA Labor and Redd Properties cooperated with the investigation and have agreed to future compliance. All back wages will be paid to employees by the end of this month.

The FLSA requires that covered employees be paid at least the federal minimum wage of $5.85 for all hours worked, plus time and one-half their regular rates of pay, including commissions, bonuses and incentive pay, for hours worked beyond 40 per week. Employers must also maintain accurate time and payroll records.

The Labor Department’s Wage and Hour Division concluded 31,987 compliance actions and recovered more than $171 million in back wages for more than 246,000 employees in fiscal year 2006. Back wage collections in fiscal year 2006 represent a 30 percent increase over back wages collected in fiscal year 2001. The number of workers receiving back wages has increased by 14 percent since fiscal year 2001.

For more information about the FLSA, call the New Orleans District Office of the Wage and Hour Division at 504-589-6171 or the Department of Labor’s toll-free helpline at 866-4US-WAGE (487-9243). Information is also available on the Internet at www.wagehour.dol.gov.

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