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ESA News Release: [02/06/2006]
Contact Name: Brad Mitchell
Phone Number: (312) 353-6976
Release Number: 06-0081-CHI

Careerbuilder.com Pays Over Half Million to Resolve Alleged Overtime Violations of Federal Wage Law

CHICAGO — Internet employment recruiter Careerbuilder.com, headquartered in Chicago, has paid $524,216 to 677 workers to resolve allegations of overtime pay violations of the Fair Labor Standards Act (FLSA) brought by the U.S. Department of Labor's Wage and Hour Division.

"We have recovered over half-a-million dollars for these workers," said Secretary of Labor Elaine L. Chao. "We are committed to ensuring that workers are paid all the wages they have earned."

The Labor Department alleged that violations occurred when the company improperly classified some workers as exempt from overtime pay provisions of the FLSA, and therefore failed to compensate those workers at time and one-half their normal pay rate, including commissions, for hours worked over 40 in a single workweek. The department's investigation covered a two-year period beginning January 2003 through January 2005.

The FLSA requires employers to pay covered, non-exempt workers one-and-one-half times their regular rate of pay for all hours worked over 40 in a single workweek and to maintain accurate employment records.

For more information, call the Department of Labor's toll-free help line at 1-866-4USWAGE (1-866-487-9243) or visit the Internet at www.wagehour.dol.gov. Information about the current exemption for white-collar executive, administrative and professional employees can be found on the Internet at www.dol.gov/fairpay. A user-friendly Web site— www.dol.gov/elaws/overtime.htm — helps employers properly pay and classify their employees and includes an on-line tool for determining overtime eligibility called the elaws FLSA Overtime Security Advisor.