Wage and Hour Division (WHD)

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SAN FRANCISCO -- The U.S. Department of Labor has recovered a total of $170,937 in overtime back wages for 329 workers following investigations of ten garment manufacturers in Saipan.

This is the third consecutive year that the Labor Departments Wage and Hour Division has conducted a planned garment initiative on the island to help improve the industrys compliance with federal laws regarding pay and work hours. Investigators found eight of the ten manufacturers investigated in violation of the federal overtime provisions of the federal Fair Labor Standards Act (FLSA).

The following is a list of the manufacturers found in violation, the amounts of the back wages found due and the number of employees underpaid.

The FLSA requires that employees receive not less than one and one-half times their regular rate of pay for any work in excess of 40 hours in a week.

The manufacturer owing the largest amount of back wages, Rifu Apparel, failed to meet its payroll timely. Violations by other manufacturers included failure to pay for all hours worked, failure to properly compute overtime and misapplying overtime exemptions. All the back wages have been paid, and the companies have agreed to comply in the future.

One manufacturer, SMZ Corporation, was fined $420 for repeat violations of the FLSA.

For more information about federal wage and hour laws, call the department's toll-free help line at 1-866-4USWAGE (1-866-487-9243) or contact the Saipan field office at 670-233-0740.

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U.S. Department of Labor releases are accessible on the Internet at www.dol.gov. The information in this news release will be made available in alternate format (large print, Braille, audio tape or disc) from the COAST office upon request. Please specify which news release when placing your request at (202) 693-7828 or TTY (202) 693-7755. The Labor Department is committed to providing America’s employers and employees with easy access to understandable information on how to comply with its laws and regulations. For more information, please visit www.dol.gov/compliance.