Wage and Hour Division (WHD)

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AUSTIN, TX -- The U.S. Department of Labor’s (DOL) Wage and Hour Division today announced that Holiday Retirement Corp. in Austin has agreed to pay $82,413 in back wages after an investigation found that 21 current and former administrative workers were underpaid.

“The Department of Labor is committed to ensuring that all workers are paid the full wages they are entitled,” said Nicasio Flores, DOL’s Wage and Hour district director in San Antonio. “Some employees worked up to 56 hours a week without receiving overtime pay. In addition, the company deducted time for lunch breaks when some employees did not take a lunch break.”

An investigation by the San Antonio Wage and Hour division, covering the period Nov. 2, 2002 to Nov. 1, 2004, determined that Holiday Retirement Corp., doing business as The Clairmont, paid employees a straight salary regardless of the number of hours worked in the week. Some employees worked as many as 56 hours in a workweek, and they did not receive overtime compensation. In addition, the company failed to keep accurate payroll records.

Holiday Retirement Corp., whose corporate office is located in Salem, Ore., is independently owned and operates independent living facilities for the elderly. The company has agreed to future compliance and to pay the back wages due.

The FLSA requires employees to be paid the minimum wage for all hours worked and time-and-one-half their regular rate of pay for hours worked over 40 per week. Employers must also maintain accurate time and payroll records.

The Wage and Hour Division recovered nearly $200 million in back wages in fiscal year 2004 for more than 288,000 workers. Average days to resolve a complaint decreased in fiscal 2004 from 108 days to 92 days.

For more information about the Fair Labor Standards Act, call the San Antonio Wage and Hour office at (210) 308-4515 or the Department of Labor’s toll-free help line at 1-866-4USWAGE (1-866-487-9243). Information is also available on the Internet at www.wagehour.dol.gov.

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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.